Up to ₹135 crore paid for about ₹19 crore of revenue
RPG Life Sciences buys an approved plant before US tariffs
The US seems to have given Indian pharma a two-year countdown. Generic drug tariffs go from 0% today to 100% in August 2028, then 200% in 2029.
RPG Life Sciences apparently wants to beat the clock by buying the factory instead of building one.
It moved its own API business into a subsidiary for ₹33.55 crore, brought in outside capital there, and then agreed to pay up to ₹135 crore for Raghava Life Sciences' API business, which does only ~₹19 crore of revenue.
7x sales sounds crazy, but it came with a WHO GMP and EU GMP approved plant near Hyderabad, ~300 kl of capacity and 29 molecules. In pharma, getting that approval can take years.
US generic drug tariffs: 0% now, 100% in 2028, 200% in 2029
The schedule announced on 21 July 2026 covers every imported generic. No formal order has followed yet, but it sets the clock Indian drugmakers are planning around.
Tariff on imported generic drugs, per cent
Aug 2026 to Aug 2028: 2 years at 0%
100% from 1 August 2028, 200% a year later
US generic drug tariff schedule, posted 21 July 2026 · Aug 2026 to Aug 2030
RPG pays up to ₹135 crore, 7x sales, for an approved API plant
Raghava Life Sciences’ API business did about ₹19 crore in FY26. What RPG is buying is the approval: WHO GMP and EU GMP, ~300 kl of capacity and 29 molecules.
₹ CRORE
7.1x FY26 sales, for a plant near Hyderabad
The plant’s ₹200 crore potential is a management estimate reported in the press, not a filed figure. ₹135 crore is a ceiling, subject to adjustments.
RPG Life Sciences, BSE filing of 29 July 2026 · FY26
Outside money pays for both of RPG’s plant purchases
RPG moved its API business into a subsidiary for ₹33.55 crore, then sold about 40% of that subsidiary to 2 funds for ₹243 crore. 2 acquisitions take ₹215 crore of it.
RPG Life Sciences, BSE filings of 29 July 2026 · FY27