Running Pharma Unit for Sale in Paonta Sahib – GMP, Sch M

Plot Size

16145.87 Sq. Ft.

Building Size

10000 Sq. Ft.

Asking Price

INR 14

Available

For Sale

Certification

GMP

Company Details

Pharma Unit for Sale · Paonta Sahib, Himachal Pradesh

Pharma Unit for Sale in Paonta Sahib — Licensed & Ready to Run

A running, GMP & Revised Schedule M-compliant non-beta-lactam manufacturing unit — tablets, capsules and liquid orals — with a 450+ formulation portfolio, a 100+ domestic client book and substantial spare capacity. Offered as a clean asset-and-licence acquisition, not a passive holding.

Listed for Sale GMP Certified Revised Schedule M GLP Non-Beta-Lactam Est. 2016
Schedule of Particulars Ref · LGP / HP / PS-01
Asking price₹14 Crore
LocationPaonta Sahib, HP
Land area1,500 sq m
Built-up area10,000 sq ft
Dosage formsTablets · Capsules · Liquids
Approved formulations450+
Annual turnover*₹5 Crore
Gross margin*~20%
Clients100+ domestic
Workforce40 staff
Legal entityPartnership
AvailabilityFor Sale

*Turnover and gross margin are as represented by the seller and subject to independent due-diligence verification. Figures are indicative and do not constitute an offer, a valuation, or financial advice.

Overview

A fully-licensed platform — ready to produce from day one

This pharma unit for sale in Paonta Sahib, Himachal Pradesh, is a running, GMP-certified pharmaceutical manufacturing unit available for acquisition at ₹14 crore. It is a compact, cleanly-run non-beta-lactam pharma manufacturing unit — producing tablets, capsules and liquid orals for the domestic market — that comes with live CDSCO licences, a documented portfolio of 450+ approved formulations, and a 100+ client book. This page sets out exactly what is on offer, what it earns, where the growth sits, and what to verify before you sign — written for real diligence, not a brochure.

For an investor or established pharma company, the logic is direct: you inherit a licensed, Schedule M-compliant platform with a ready product range and spare capacity rather than spending 18–24 months building and certifying a greenfield site while competitors capture demand. This is a pharma business for sale priced on its assets, licences and approvals — the return comes from filling capacity that is already installed and monetising a product portfolio that already exists.

Location
Paonta Sahib, Sirmaur district, Himachal Pradesh — an established HP pharma belt near the Uttarakhand border, ~45 km from Dehradun, within a day’s road reach of Delhi-NCR.
Facility type
Non-beta-lactam — tablets, capsules and liquid orals under one roof.
Compliance
GMP certified · GLP · Revised Schedule M compliant (CDSCO).
Product portfolio
450+ approved formulations across the three dosage forms — full schedule available on request / under NDA.
Commercials
₹5 crore turnover at ~20% gross margin; 100+ domestic third-party / trade clients (seller-represented).
Team
40 trained staff across production, QA/QC, stores and administration.
Structure
Partnership entity — transferable as a slump/asset sale or entity sale, subject to buyer preference and advice.
Headroom
Installed capacity materially exceeds current output — the core growth thesis of the deal.
Location & Strategic Advantages

Why Paonta Sahib

Paonta Sahib is one of Himachal Pradesh’s long-standing pharmaceutical manufacturing hubs, alongside Baddi, Kala Amb and Solan. For a buyer, the value isn’t the address — it’s the operating ecosystem you inherit on day one:

Established cluster
Excipient and packaging suppliers, contract testing labs and pharma-equipment engineers operate locally — keeping lead times and machine downtime short.
Trained talent pool
A mature HP pharma workforce means GMP-literate operators, QA/QC analysts and documentation staff are available without a long hire-and-train runway.
Connectivity
Road links to Dehradun, Chandigarh and Delhi-NCR support both raw-material inflow and pan-India dispatch of finished goods.
Regulatory familiarity
HP state drug authorities and local consultants handle CDSCO and Schedule M processes routinely, smoothing licence variations and renewals.
Legacy base
The region built its scale in the HP excise-incentive era; the supplier density and infrastructure remain, even though the original tax holiday has ended.
The same unit in a tier-2 industrial zone typically means slower procurement, higher compliance cost and longer recruitment. Paonta Sahib removes those frictions from the start.
Infrastructure & Compliance

The physical asset & what its certifications unlock

The 10,000 sq ft built-up block on the 1,500 sq m plot is laid out for compliant oral-solid and liquid manufacturing — segregated production, warehousing and QC areas built around GMP material and personnel flow. As a brownfield, operating asset, you take on a facility with a known construction and utility history rather than greenfield unknowns. A full asset and utility schedule (HVAC and cleanroom classification, purified-water system, DG backup, air handling, ETP and QC instrumentation) is provided with the due-diligence pack and should be independently audited.

CertificationWhat it enablesMarket access
GMP (CDSCO)Recognised current Good Manufacturing PracticeLegal manufacture & pan-India distribution of approved formulations
Revised Schedule MCompliance with India’s upgraded GMP norms (in force 1 Jan 2025)De-risks the unit against ongoing CDSCO risk-based inspections
GLPGood Laboratory Practice in the QC functionReliable in-house release testing and method integrity
DCGI / CDSCO product approvalsProduct-level regulatory recognitionLegal manufacture of the 450+ approved formulation list
Export upside — stated accurately: the unit is not currently WHO-GMP certified, and its GMP/Schedule M status does not, on its own, open regulated or semi-regulated export markets. But a Schedule M-compliant facility is a strong base from which to pursue a WHO-GMP certification and CoPP, which would unlock RoW / semi-regulated markets (much of Africa, parts of Asia, CIS) and tender business. That’s a real, higher-margin growth lever — a lever to build, not a certification you inherit.
Verify in diligence: HVAC / cleanroom classification and validation status, purified-water (PW) generation and loop, compressed-air quality, ETP capacity and consents, and the age and condition of major machinery. Utility adequacy is what determines how much of the nameplate capacity you can actually run.
Manufacturing Capacity

Production capacity by dosage form

Installed daily capacity across three non-beta-lactam lines, annualised at ~250 working days:

Dosage formPer dayWeekly (6 days)Annual (250 days)
Tablets (non-beta)4 lakh24 lakh10 crore
Capsules (non-beta)3 lakh18 lakh7.5 crore
Liquid orals (syrups/suspensions)20,000 units1.2 lakh units50 lakh units
The headroom story — and the caveat. Nameplate capacity of this order against ₹5 crore of current turnover means the unit is running well below its installed potential. That spare capacity is the single biggest source of upside — but nameplate is not demonstrated output. Validate actual batch-record throughput against these figures in diligence; the real question is how much of it current utilities, manpower and shift patterns can sustain.
Product Portfolio & Approvals

A ready-to-sell range of 450+ approved formulations

The unit carries a documented portfolio of 450+ approved product formulations — a genuine value driver, since each approval carries the time, cost and paperwork a new manufacturer would otherwise have to build from scratch. The range spans all three dosage forms and the high-volume domestic therapeutic segments:

450+
approved formulations across tablets, capsules & liquid orals
100+
active domestic third-party & trade clients
5
core therapeutic segments covered by the portfolio
Therapeutic segmentRepresentative range
Analgesics & NSAIDsAceclofenac, diclofenac, nimesulide and paracetamol combinations
Antibiotics & antimicrobialsOfloxacin–ornidazole, fluconazole and related anti-infectives
Gastro / PPIsPantoprazole and domperidone-based formulations
Anti-allergics & respiratoryLevocetirizine, ambroxol and cough/cold combinations
Nutraceuticals & haematinicsFerrous ascorbate–folic acid, calcium, and multivitamin range

The full molecule-level approval schedule is shared with qualified buyers under NDA. Segment breadth makes the portfolio well-suited to third-party manufacturing, PCD supply, and — after a WHO-GMP upgrade — export registration.

Contract & Third-Party Manufacturing

A ready third-party manufacturing platform

The unit serves 100+ domestic clients on a third-party / contract manufacturing basis — the sticky, capital-light model that underpins much of India’s oral-solids sector. These relationships are durable because moving a product to a new site forces the customer through re-validation and fresh regulatory filings, so an inherited client book carries real switching-cost protection.

For a buyer, the platform supports three revenue modes at once: continuing the existing third-party manufacturing unit business, adding loan-licence arrangements, and — for an operating pharma company — in-housing its own brand production to reclaim margin currently paid to outside manufacturers. The multi-dosage flexibility under one licence lets you re-mix output as client demand shifts — both diversification and client-retention insurance.

Business Performance & Valuation

The numbers — read honestly

The figures below are as represented by the seller and must be validated in diligence against audited accounts and GST filings. Note the correction that matters most: the ~20% figure is gross margin, not EBITDA. On ₹5 crore of turnover that’s roughly ₹1 crore of gross profit; the operating (EBITDA) margin sits below that once overheads are counted and should be confirmed from the accounts.

MetricAs representedNote for buyer
Annual turnover₹5.00 CrReconcile to GST returns + bank statements
Gross margin~20%≈ ₹1.0 Cr gross profit; thin, consistent with job-work mix
EBITDABelow gross profitConfirm from audited P&L — not the 20% figure
Capacity utilisationLowLarge installed headroom vs current output
Approved formulations450+Core intangible value — verify against licence
Client base100+Verify top-10 contribution & churn
Workforce40Key-staff retention plan pre-close

Asking price — and how to read it

The asking price is ₹14 crore, negotiable subject to due diligence. It’s worth being direct about what that number is:

This is an asset-and-licence price, not an earnings multiple. Against ~₹1 crore of gross profit — and a lower EBITDA — ₹14 crore is many multiples of current earnings, far above what an operating pharma unit fetches on profit alone. So a buyer valuing this purely on current earnings will find it expensive. The price only makes sense on the asset-and-platform basis: freehold* land in an HP pharma belt, a 10,000 sq ft built facility, three installed dosage lines, a full GMP / Schedule M licence set, a 450+ product-approval portfolio, and a live 100-client book — each carrying independent replacement cost, time and regulatory effort a greenfield buyer would otherwise absorb.

How to value it: commission an independent valuation of (1) land + building at prevailing HP industrial rates, (2) plant & machinery at fair market value, and (3) intangibles — the 450+ approvals, licences and client relationships. Then test whether the sum, plus a premium for a ready, running platform with headroom, supports the ask. Negotiate on the gap. Treat current earnings as the floor return while you scale utilisation and improve mix — not as the basis for the price.

Investment calculator

Because the thesis here is utilisation-and-margin-led, the calculator works from gross margin, lets you deduct your own operating cost to reach EBITDA, and shows a scale-up scenario. Unlevered (all-equity) — layer in your own debt separately.

Gross profit
Est. EBITDA
Unlevered cash yield
Simple payback

Illustrative only. Excludes working-capital movements, tax, and capex beyond the operating cost you set. Not financial advice — verify all inputs in due diligence.

Why This Opportunity Stands Out

Why now

01
Schedule M enforcement favours compliant units

The Revised Schedule M took effect on 1 January 2025 and the extension window for smaller manufacturers has closed, with CDSCO running risk-based inspections. Non-compliant units face costly retrofits and downtime; this facility is already compliant, so that cost simply doesn’t apply — and as enforcement tightens, compliant capacity gains share.

02
Third-party demand is structural

India is the world’s generics workshop, and outsourcing keeps rising — startups avoid crores in capex by using contract manufacturers, and larger firms offload commoditised products. A ready, licensed unit with a 450+ approval portfolio captures that demand immediately; a greenfield build sits out the first 18–24 months.

03
Built-in growth headroom

The gap between installed capacity and current ₹5 crore output is the clearest lever any buyer has: filling existing lines and improving product mix drives revenue and margin with limited incremental capex. A WHO-GMP upgrade on this compliant base opens export markets on top.

Strengths & Risks — an honest read

What works in your favour

Ready product range
450+ approved formulations — a portfolio that would take a new entrant years to assemble.
Compliant & running
GMP, GLP and Revised Schedule M in place; a brownfield asset with no construction unknowns.
Sticky client book
100+ domestic accounts with high switching costs; diversified, no stated single-client dependence.
Capacity to grow into
Multi-dosage flexibility and significant unused capacity — the engine of the return.

What you’re taking on

RiskImpactMitigation
Valuation vs earnings₹14 Cr is many multiples of current profitValue on independent asset + approval + intangible basis; negotiate the gap; scale-up drives the return
Thin operating margin20% gross; EBITDA lowerConfirm cost structure; improve mix toward higher-value products post-close
Capacity under-utilisationReturn stays low if lines aren’t filledNamed client-acquisition plan; loan-licence deals; export/WHO-GMP path
Nameplate vs actual capacityOverstated throughput inflates upsideValidate against batch records & utility capacity pre-close
Client concentration / churnRevenue shock if key accounts exitTop-10 contribution check; transition & retention agreements
Partnership-entity transferLiabilities carried in an entity dealPrefer slump/asset sale where advised; full liability & litigation search

None of these is fatal with active management — but this is an operating business bought on its platform value, not a passive holding.

Ideal Buyer Profile

Who this is right for

Existing pharma company
Wanting ready, compliant non-beta capacity plus a 450+ product range to in-house production without the greenfield wait.
Marketing / PCD / distribution firm
Ready to secure its own supply, own the manufacturing margin, and sell an established portfolio under its own brand.
Entrepreneur / investor with operations capability
Able to fill the installed capacity and pursue a WHO-GMP export upgrade on the compliant base.
Not a fit if
You want passive income, have no route to operating expertise, or expect current earnings to justify the price on their own — the value is in what you build on the platform.
Due Diligence

Next steps for serious buyers

A site visit is essential — a facility can’t be assessed from documents alone. When you make contact, request:

Financials
Audited accounts (last 3 years), reconciled to GST filings — and a clear split of gross margin vs EBITDA.
Licences
GMP certificate and CDSCO manufacturing licence (scope + validity).
Product approvals
Full 450+ formulation / approval schedule, checked against the licence.
Plant & machinery
Equipment schedule with age, condition and maintenance history.
Capacity
Throughput validation backed by batch records.
Clients
Top-client list with revenue contribution and churn history.
Property & legal
Title / tenure documents, environmental consents (ETP), and a change-of-control review of key contracts.
Enquire about the Paonta Sahib unit

Request the due-diligence pack & arrange a site visit

Product-approval schedule, GMP & CDSCO licence scope, machinery list, three-year financials, client-contribution summary and a transition timeline — shared with qualified, funding-ready buyers. Handled in confidence.

Direct line
+91 98124 46733
Email
contact@laafon.com
Location
Paonta Sahib, HP

Serious, funding-ready buyers only · Site visits by appointment

FAQ

Frequently asked questions

What certifications does the unit hold?
GMP certification, GLP, and compliance with the Revised Schedule M (CDSCO). It is a non-beta-lactam facility. It is not currently WHO-GMP certified, though the compliant base positions it well for a WHO-GMP upgrade to unlock exports.
What is the asking price, and how is it justified?
₹14 crore, negotiable subject to due diligence. It reflects an asset-and-licence valuation — land, built facility, three installed dosage lines, licences, a 450+ product-approval portfolio and the client book — rather than a multiple of current earnings.
Is the 20% figure EBITDA?
No — ~20% is the gross margin (≈ ₹1 crore gross profit on ₹5 crore revenue). EBITDA is lower once overheads are counted and should be confirmed from the audited accounts during diligence.
What is the production capacity?
Per day: 4 lakh tablets, 3 lakh capsules and 20,000 units of liquid orals. Installed capacity substantially exceeds current output — validate actual throughput against batch records.
How many products are approved?
A documented portfolio of 450+ approved formulations across tablets, capsules and liquid orals, spanning analgesics/NSAIDs, antibiotics, gastro/PPIs, anti-allergics/respiratory and a large nutraceutical/haematinic range. The full molecule-level schedule is shared under NDA.
Does the unit export?
It currently serves the domestic market only. Export access would require a WHO-GMP certification and CoPP, which the Schedule M-compliant facility is a good base to pursue.
What is the legal structure of the deal?
The business operates as a partnership. The transaction can be structured as a slump/asset sale or an entity transfer depending on buyer preference and professional advice — confirm liability treatment in diligence.

Figures on this page relating to turnover, margin, capacity, approvals and returns are indicative, are as represented by the seller where noted, and are subject to independent verification. Land tenure, certifications and approvals must be confirmed by title search and regulatory checks. Nothing here constitutes an offer, a valuation, or investment/financial advice.

Production Capacity: Tablets 5 lakhs, Capsules 3 lakhs and Liquid Orals 10000 bottles /8 hours
Contact Regarding the Company:

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