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9M INDIA LIMITED – INVESTMENT MEMORANDUM

9M India Limited – First Floor, Ganpati Tower, Near Vaishali Furniture, Ashoka Vihar Colony, Behind Maruti Showroom, Pandri, Raipur - 49

Company Overview
9M India Limited (hereinafter “9M India” or the “Company”), incorporated in 2020, is an
emerging leader in pharmaceutical manufacturing. The Company is committed to
developing high-quality medicines and supplying them to domestic and international
markets.

Mr. Manish Agarwal, the promoter and CEO, brings over 15 years of experience in the
pharmaceutical industry, mainly as a trader, having worked with industry leaders such as
Pfizer, Cipla, Novo Nordisk, and others. His deep market insights and regulatory acumen
drove him to establish 9M India to address critical gaps in the sector, and he remains
steadfastly committed to making quality healthcare both affordable and accessible.

The Company operates a state-of-the-art, WHO-GMP-certified facility in Birkoni,

Mahasamund, Chhattisgarh, to ensure top-tier production capability, and its strategic
connectivity optimizes efficient distribution. 9M India participates in government tenders
to supply niche medicinal products, yielding higher margins and maximizing capacity
utilization.

The Company has entered into a Memorandum of Understanding (MoU) with the
Chhattisgarh Government. It is currently the only pharmaceutical company in the region
under the “Mega Project” scheme, which aligns with the nation’s “Make in India” initiative.
It’s expanding domestic presence to Bihar and West Bengal in addition to its existing
markets, i.e., Chhattisgarh, Uttar Pradesh, Telangana, and Andhra Pradesh.

Product Portfolio
9M India offers various non-antibiotic pharmaceutical products across key therapeutic
areas.

Segment Key Forms Representative Therapies

Oral Solids Tablets, capsules Analgesics, antihypertensives, antidiabetics,
vitamins, minerals and supplements
Oral Liquids & Syrups, nutritional Pediatric & adult nutrition
Powders powders
Topicals Creams, gels, lotions, Dermatology, pain relief, wound care
ointments

Small-Volume Ampoules, vials, sterile Critical care, hormonals, ocular infections

Parenterals (SVP) & drops
Eye Drops
 Injectables Solutions Ampoules

Glycosides Gels Capsules

Industry Analysis
• The Indian pharmaceutical industry is known for generic medicines and low-cost
vaccines and ranks 3rd globally in pharmaceutical production by volume and 14th by
value, contributing 1.7% to GDP. The industry is projected to grow from USD 50 billion
today to USD 450 billion by 2047.

• India supplies 20% of global generic medicines and exports to over 200 countries.

• Janaushadhi Kendras, government-run stores that sell high-quality generic medicines

at 50–80% lower prices than branded drugs, have expanded to 13,822 stores as of
Sep 2024, targeting 25,000+ by FY26 — driving structural demand for low-cost
generics.

• SVPs and oncology injectables are among the fastest-growing global segments at a
10% CAGR.

• The Indian biosimilars market is growing at a 22% CAGR, expected to reach USD
12 billion by 2025 (~20% of the domestic pharma market).
9M India intends to cater to the fast-growing demand in the domestic and export markets
by executing a focused growth strategy outlined below.
Business Segments & Strategy
• Government Tenders – 9M India has a proven track record of supplying critical care and
essential medicines through long-term government tenders for timely, affordable, high-
quality drug delivery. The Company strategically identifies high-demand, niche products
that are nearing patent expiry and are typically imported. By proactively preparing for
tenders, 9M India capitalizes on minimal early-stage competition, enabling it to command
superior margins. While industry peers typically operate at 10-15% net margins, this
approach allows the Company to sustain ~30% margins.
• Contract Manufacturing – The Company also provides end-to-end contract
manufacturing services, including formulation development, testing, regulatory
support, and large-scale production, to third parties through its WHO-GMP compliant
facility.
• Branded Generics & Over the Counter (OTC) Business – 9M India has recently set up
a new subsidiary, 9M Life Sciences Pvt Ltd, to cater to the burgeoning demand for
providing diverse generics in therapeutic areas such as anti-diabetics, anti-TB,
antiretrovirals (ARVs), and dermatology. Additionally, it has introduced an OTC unit
offering pain relief, cough syrups, nutrition, and personal care products for retail
pharmacies and wellness outlets.
• Joint Venture (JV) – The Company has also entered a JV to establish a single product
antibiotic (amoxicillin) plant in Indore.
9M India currently boasts a manufacturing facility spread across 4 acres and has recently
acquired a 28-acre land parcel in close proximity to its existing setup on which the Company
is looking to add up to 10 independent specialized manufacturing blocks to cater to the
rising demand from domestic and export markets.
Growth Plan
9M India intends to achieve multi-fold growth by investing in high-margin therapeutic
segments, enhancing in-house capabilities, and rapidly increasing production capacity.

• New Manufacturing Facility – 9M India will develop two production blocks for SVP
injectables and tablets/capsules across 5 acres (with an additional 23 acres for future
expansion), targeting developed markets, including Europe, the UK, and the US. Both
blocks are scheduled to commence commercial operations in FY26 and are being built
with a clear vision of achieving regulatory approvals from leading health authorities, such
as PIC/S (Pharmaceutical Inspection Co-operation Scheme), NAFDAC (National Agency
for Food and Drug Administration and Control), and EU-GMP (European Union Good
Manufacturing Practice), to name a few.

• Central Government Tenders – To date, 9M India has primarily focused its efforts on
State Government tenders to establish credibility and a proven track record. Starting mid-
2025, the Company will also be eligible to bid on Central Government tenders for
pharmaceutical products under various national health schemes.

• In-House Formulation & Development – 9M India is enhancing its formulation and

development capabilities to drive product innovation across diverse therapeutic categories
and deliver affordable, high-quality off-patent alternatives to essential medicines.

• Export Focus – Currently contributing to ~4% of revenue, 9M India aims to increase

export revenue contribution to 25% by FY26, initially targeting private sector players
in Africa, the Middle East, Latin America, and Iraq.

• Oncology Manufacturing Block – A dedicated manufacturing facility is planned for

injectable and oral formulations for the oncology segment. The plant will address growing
global demand for affordable, life-saving cancer therapies.

• New Subsidiary – 9M Life Sciences, engaged in distributing branded generics and OTC
medications, is expected to generate INR 25 crore in revenue in FY26, and scale up to
INR 100 crore by FY27.

Financial Projections
Particulars (in INR Cr) FY25 FY26E FY27E
Total Income 146 270 360
EBITDA 57 105 145
PAT 42 75-80 105-110
EBITDA Margin (%) 39% 39% 40%
PAT Margin (%) 29% 28-30% 29-31%
Peer Comparison
Senores Remus Shilpa Akums
Particulars (in INR Cr) 9M India
Pharma Pharma Medicare Drugs
FY25* FY26E** TTM*** TTM*** TTM*** TTM***
Total Income 146 270 396 463 1,265 4,052
EBITDA 57 105 102 47 331 493
PAT 42 75-80 55 30 88 155
EBITDA Margin (%) 39% 39% 26% 10% 26% 12%
PAT Margin (%) 29% 28-30% 14% 6% 7% 4%
M-Cap 1,010 2,618 1,149 6,570 7,886
P/E 24 13 48 38 74 51
*Based on FY25 expected numbers **Based on FY26 projections
***Based on the Trailing Twelve Months financials for Senores Pharma, Remus Pharma, Shilpa Medicare, and
Akum Drugs

As reflected in the tables above, 9M India has delivered the highest margins amongst its
peers and exhibits an impressive growth trajectory, while remaining attractively valued.

Investment Rationale
• Mega Project Status – Under the “Mega Project” scheme, 9M India has the first right to
supply up to 50% of pharmaceutical products under the tender or the production
capacity of the manufacturing unit, whichever is lesser, by matching the L1 price (in the
event it does not win the tender). This gives the Company a distinct competitive
advantage and revenue certainty from the Chhattisgarh Government.

• Experienced Promoter – Mr. Manish Agarwal brings 15 years of expertise in the

pharmaceutical industry, having served as a trader and distributor for leading MNCs.
His deep product-category knowledge, comprehensive regulatory insight, and a strong
understanding of target markets are instrumental in the continued growth and success
of 9M India.

• Advanced Manufacturing Facility – The new manufacturing facility is being set up with
a clear vision of achieving regulatory approvals from leading health authorities, such as
PIC/S, NAFDAC, and EU-GMP. Meeting these rigorous standards will enable the
Company to access not just local markets, but also highly regulated international
markets, positioning the Company as a trusted supplier of SVP products worldwide.

• High-Growth Model – With a diverse product portfolio consisting of over 1,500 SKUs,
9M India generates predictable revenues due to steady orders from current state
governments penetrated, particularly Chhattisgarh, across diverse customer segments. At
the same time, new export-focused capacity for SVP injectables and oncology products
 targets higher margins. Additionally, the Company’s eligibility for Central Government
tenders from FY26 is poised to expand the order book materially, and a newly formed
subsidiary will market OTC products under the Company’s brand.

• Attractive Valuation – Given the growth triggers, the Company is expected to have a
revenue CAGR of 57.1% over the next two years, offering substantial upside potential.

The Fundraise & Investment Opportunity for You

9M India is raising INR 50 crore via a preferential issue of equity shares at INR 1,200 per
share and a pre-money valuation of INR 1,010 crore. The proceeds will be used for capital
expenditure to establish the SVP injectables and tablet/capsule blocks in the new
manufacturing facility.

9M India represents a compelling opportunity in India’s fast‑growing generic pharma

sector. Its emphasis on niche formulation, state‑of‑the‑art technology, and rigorous quality
controls underscores a strategic roadmap towards greater market share and wider moats.

Kindly note that this opportunity is available on a first-come, first-served basis. We look
forward to your participation in this fundraise. Enclosed is the corporate presentation for your
kind perusal.
https://drive.google.com/file/d/1wsgh12FRzGB4g_IjMn2Z81c78VAzbLIK/view?usp=sharing

Disclaimer: All figures are based on internal company estimates and market assessments. Forward-looking statements
involve risks and uncertainties that may cause actual performance or results to differ materially.

702, Embassy Center, Nariman Point, Mumbai – 400021

Email ID: [email protected] Contact No. - 61539100/123, 8097552163