Akums Group has inked a long-term agreement with a global pharmaceutical company to manufacture and supply formulations in the European market.

The total value of this agreement is estimated at €200 million (₹1,760 crores), the company said, adding that Akums would receive an upfront payment of €100 million (₹880 crores) for product development and site approval from the European authorities.

Growth plans

A contract manufacturing and development organisation (CDMO), Akums, will produce and supply multiple SKUs of oral liquid formulations, which the partner company will market across various European countries. The agreement is in line with Akums’  growth plans to expand in Europe and other regulated markets, alongside local manufacturing.

This agreement helps boosting domestic manufacturing capabilities for global markets, the company said, adding that commercial supply of these products was expected to begin in 2027 and continue till 2032.

As part of this pact, Akums will initiate the European approval process for its oral liquid manufacturing facility, to produce the contracted products. The site and product dossier approvals are expected to be received by end 2026.  Akums already operates two European-approved facilities for injectables and oral solids, it added.

Collaboration opportunities 

Sanjeev Jain, Akums Managing Director, said, the agreement opened doors for the company to further expand its footprint in the regulated markets and “replicate the domestic CDMO success globally.” Sandeep Jain, Akums Managing Director added, “These products are currently being manufactured in Europe. Manufacturing these products in India opens further collaboration opportunities with other global pharma companies to optimise their manufacturing costs and make their supply chain robust. …Akums already has European approved facility for tablets, hard gelatin capsules, sachets, ampoules, vials, eye-drops and dry powder injection.”