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Law360 (March 19, 2021, 4:00 PM EDT) -- The biopharmaceutical division of India's Strides Pharma Science Ltd. said Friday it's now valued at $350 million after the closing of two funding rounds and that it will use the proceeds to grow the business, including developing its vaccine capacity.
Stelis Biopharma closed its Series B and Series C funding rounds raising $70 million and $125 million, respectively, from investors such as TPG Growth, GMS Holdings and a family office, it said in a statement. Strides said Feb. 4 it will demerge and list its biotechnology business with Stelis, enabling it to operate on a stand-alone basis.
"Stelis is now getting into its growth phase and is witnessing strong customer traction for its [contract development and manufacturing organization] offerings including vaccines," Strides Group founder Arun Kumar said in the statement.
"We are confident to build a sustainable business and deliver significant value for our shareholders," he added.
Separately on Friday, Stelis said it has contracted with the Russian government to supply 200 million doses of Sputnik V, that country's vaccine for the novel coronavirus, enough to inoculate 100 million people.
"We are delighted to partner with RDIF to make a substantial contribution towards providing global supply of the Sputnik V vaccine which is one of the most efficacious approved vaccines commercially available," Kumar said in the joint statement with the Russian Direct Investment Fund, the country's sovereign wealth fund.
With the closing of the funding rounds, Strides will own a 33%, or about $116 million, stake in Stelis, it said.
Stelis plans to use the proceeds from the offerings for matters including investing in its laboratories, increasing its ability to manufacture different types of vaccines and general corporate purposes such as debt, according to the statement.
Counsel information for Stelis was not immediately available Friday and a spokesperson for the company declined to comment beyond its public statements.
--Editing by Stephen Berg.
Update: This article has been updated with a response from Stelis.
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