News: Tatas to invest Rs 1,000 cr in pharma joint venture

(BL 07/08/2006) Mumbai - The Tata Group has earmarked about Rs 1,000 crore for investment over the next four years in Advinus Therapeutics, a joint venture floated by it and ex-Ranbaxy research head Rashmi Barbhaiya.

The venture, in which Tatas' have already infused $15 million (Rs 70 crore), would focus on drug discovery and development of pharmaceutical and agrochemical products.

The company, whose Pune drug discovery facility was inaugurated on August 3, is also planning to set up an R&D centre in Bangalore with an investment of $5 million.

"The Group has been keen on developing businesses in the knowledge sector and the investment in Advinus is seen as a part of this focus. It is also believed that Advinus is the first step towards the Tata Group's re-entry into the pharmaceutical industry," sources close to the development told PTI here.

The Pune facility, which was inaugurated by the Group Chairman Ratan Tata, will be the nerve centre of the drug discovery activities being undertaken by the company.

Located in the Biotech park in Pune, the facility is spread over an area of 20,000 sq ft and will undertake novel drug discovery and generate IP primarily in the area of Metabolic Diseases and Inflammation.

The facility currently has 55 scientists in various streams and the company will increase its headcount to 550 over the next four years.