In line with the strategic plans envisaged, the company has accomplished the following to date.
- A technical collaboration has been setup with a reputed European technology development company for fermentation based drugs, for transfer of production technologies originally for two high value drugs namely Daunomycin, an anticancer drug and Hyaluronic acid, an ophthalmic and orthopaedic drug.
- In order to achieve improved commercial viability and increased profitability of the project, SBIL proposed to add to the production plan, two more high value drugs used in organ transplantation therapies and entered into collaborative agreement with the European collaborator for the technology transfer of these two products.
- The revised project plan with the additional products has called for an increase in the project cost from Rs. 28 crores to Rs. 68 crores and the additional fund requirement is planned to be met from financial institutions as Term loan. Approval of this term loan amount is obtained from Indian Overseas Bank.
- Civil works related to the construction of Administrative Block and R&D Block at the company site in S.P. Biotech Park, Shameerpet, Hyderabad have been commenced.
- Clearance from the A.P. Pollution Control Board has already been obtained.
- Sanction for the electrical connection has been obtained and the extension of electrical line to the site is done.
- Basic Engineering Designs of the plant obtained from our European technical collaborator was forwarded to M/s. SEMAC Limited, Bangalore, the reputed engineering consultants, who prepared Detailed Engineering Designs.
- The company has setup a marketing collaboration with M/s. Arch Pharmalabs Ltd., Mumbai, a reputed Pharma company with about Rs. 1,000 crores annual turnover having world wide marketing network for marketing all the products of SBIL to the extent of 100% production.
- SBIL has planned to acquire a synthetic drug manufacturing company in Hyderabad at a cost of Rs. 15 crores to add value addition to the company by way of manufacturing very high value hemi synthetic drugs from the products produced from the biotech plant, in addition to manufacturing high value synthetic drug products. An MOU has also been entered in this regard. A Techno Economic Viability Study (TEVS) Report on the acquisition proposal has been prepared by APITCO, a joint venture consultancy firm of AP Govt. and financial institutions. A term loan approval has been obtained from Lakshmi Vilas Bank, Hyderabad.
- Under the expansion plan, SBIL has registered a subsidiary company in Malaysia in the name of Saamya Biotech (Malaysia) Sdn. Bhd. with the objective of manufacturing high value biopharmaceuticals, in view of the invitation extended by Malaysian Biotechnology Corporation Sdn. Bhd. offering highly attractive incentives and tax exemptions to the biotech companies proposed to be setup in Malaysia. The project is estimated at a cost of Rs. 120 crores and the requisite funds are planned to be raised from Malaysian Federal Govt. and financial institutions as term loan to the extent of 68.06% project cost and with equity of 31.94% project cost from promoters, State Govt. of Perak, Malaysia and private placements/ Public Offer. A Techno Economic Viability Study (TEVS) Report on this project proposal has been prepared by Adept Consultants, a reputed management and financial consultancy firm serving on the panels of SBI, IOB, PNB etc. Land has already been allotted by Perak state Govt. for setting up the unit. A joint venture agreement with the Perak state Govt. has been entered by SBIL in respect of land and equity participation. Govt. incentives for tax exemptions, Research grants, personnel training grant and permission for expatriate posts have also been obtained. Funding approvals from Federal Govt. and financial institutions are awaited.