PremjiInvest-backed Koye Pharmaceuticals raises debt capital
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Mumbai-based Koye Pharmaceuticals Pvt. Ltd has raised debt capital from non-banking financial company BlackSoil Capital Pvt. Ltd.

Blacksoil said in a statement it has extended Rs 30 crore ($4.11 million) to Koye.

The pharmaceuticals company will use the funds to boost its position in the domestic formulation market and meet its working capital needs.

In November 2018, Koye had attracted funding from PremjiInvest, the family office of Wipro Ltd founder-chairman Azim Premji. This was PremjiInvest’s first bet on a pharmaceutical company in the country in more than a decade.

The financial details of the transaction were not disclosed but VCCircle had reported then that PremjiInvest was set to invest Rs 125-130 crore (about $18 million) in Koye for a stake of around 15%.

Koye, which makes essential drugs for primary speciality care, was founded in 2013 by Ravindra Shenoy and Preetish Toraskar. It had first raised external capital from multi-stage investor Sequoia Capital the same year.

Sequoia put more money into the company in 2017, increasing its stake from 58.3% to 62.6%. The venture capital and growth-stage investor has invested a total of $28.76 million in the company in various tranches, according to VCCEdge, the data research platform of Mosaic Digital.

Koye has also previously raised money from Temasek’s venture debt arm, InnoVen Capital.

BlackSoil, which offers debt to real estate developers and unlisted and new-age companies, has disbursed over Rs 1,600 crore across over 90 deals since its inception in 2016.

Some of its key startup investments include Oyo Rooms, EarlySalary, Chumbak, Lets Transport, Vogo and Rentomojo.

Last week, BlackSoil raised Rs 25 crore ($3.35 million) by issuing non-convertible debentures (NCDs). This was the third NCD issue by the company since January, raising Rs 75 crore in total from over 100 investors.

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