La Renon to offer comprehensive solutions for chronic diseases
La Renon Healthcare Pvt. Ltd., a leading pharmaceutical research, marketing and manufacturing company has raised INR 100 crore in Series A funding from Sequoia. The company will use the investment to enhance its Research and Development capabilities and to expand into new categories within the chronic diseases management space.
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Founded by Pankaj Singh, La Renon provides world-class quality pharmaceutical products and services for various critical illnesses and diseases. Started in 2008, it was the first company in Nephrology to foray into the domain with a focus on early stage Chronic Kidney Disease (CKD) Patients which is one of the most neglected segments in India. It is estimated that, at least 6 crore individuals in India are suspected to be suffering from some form of Kidney Disease, and of that only 1% (6-7 lakh) are diagnosed or undergo some form of renal therapy.
Within a short span of time, La Renon has established itself as a leader in the field of Nephrology and serves the highest number of Chronic Kidney Disease (CKD) patients in India today. Along with maintaining leadership in Nephrology, La Renon also has a strong presence in other chronic segments like Critical Care, Neurological Disorders and Urology. The company now plans to enter new segments of chronic diseases such as Gastroenterology and Respiratory.
Speaking about the fund raise, Pankaj Singh, Founder, Chairman and CEO of La Renon said, “Chronic diseases are fast becoming a major health risk for a majority of Indians, largely due to factors relating to the changing modern lifestyle. At La Renon, it is our aim to develop and market new and innovative solutions to address these chronic health issues. We view this partnership with Sequoia as an endorsement of the strength and sustainability of our branded formulations business and validation of our differentiated growth strategy across various therapeutic segments. We will look forward to Sequoia’s value addition in nurturing our Passion to build a World class pharmaceutical company providing high quality integrated care to solve chronic diseases for a broader population in India and affordably addressing the underserved medicinal needs of the galloping patient population.”
“Health and technology are converging to become ubiquitous in patients’ and doctors’ lives. We believe La Renon with innovative solutions and deep understanding of chronic diseases management has the potential to be a game-changer in the chronic disease care space in India. We look forward to working closely with them to propel the company to the next phase of growth”, said VT Bharadwaj, Managing Director, Sequoia Capital India Advisors.
“Sequoia’s investment into La Renon reaffirms the growth potential of high quality branded formulations companies in India. The investment will help La Renon in adding several new therapeutic segments to its existing brand portfolio and invest into its novel platform technologies” Said Vijay Datt, Founder and CEO of Citadel Management Consulting who was the exclusive advisor on the transaction.
The Indian healthcare industry, particularly the healthcare delivery segment, has been growing at a rapid pace over the last few years. Pegged at approximately USD 60 billion in 2014, the sector is projected to grow at CAGR of 15% to touch USD 90 billion by 2017. A crucial factor that is playing a key role in the growth of the segment is the gradual shift in patient behaviour, from only addressing acute diseases to looking at managing chronic diseases on a regular basis.
Headquartered in Ahmedabad, La Renon Healthcare Pvt. Ltd. is a pharmaceutical research, manufacturing and marketing company. With a DSIR (Department of Scientific and Industrial Research) approved Research and Development centre, the company’s focus is to develop effective formulations and innovative drug delivery systems that serve patients in the chronic diseases segment. The company has a 500 strong team and currently has 164 products that are distributed through approximately 400 stockists across the country.
About Sequoia Capital:
Sequoia helps founders turn imaginative ideas into enduring companies. As the “Entrepreneurs Behind the Entrepreneurs,” the Sequoia team has worked closely with legendary founders such as Steve Jobs of Apple, Len Bosack and Sandy Lerner of Cisco, Sergey Brin and Larry Page of Google, Reid Hoffman and Jeff Weiner of LinkedIn, Larry Ellison of Oracle, Max Levchin, Elon Musk and Peter Thiel of PayPal, David Filo and Jerry Yang of Yahoo! and Steve Chen and Chad Hurley of YouTube. Our partner entrepreneurs in India include Amit Jain and Anurag Jain of Cardekho, Jaspreet Singh of Druva, Neeraj Biyani and Neeraj Kakkar of Hector Beverages, VSS Mani of Just Dial, Vikas Jain, Sumeet Kumar and Rahul Sharma of Micromax, Dhiraj Rajaram of Mu Sigma, Loney Anthony of Prizm Payments, Alan Mamedi and Nami Zarringhalam of True Caller, Darshan Patel and Dipam Patel of Vini Cosmetics and Deepinder Goyal and Pankaj Chaddah of Zomato.