We use cookies for analytics and ads to improve your experience. You can accept or decline. See our Privacy Policy.
Unlisted shares are illiquid and carry higher risk than listed securities. Prices are indicative, not live. Read the risk disclosure.

Credit Rating (CRISIL)
CARE D
Rates the company's debt-servicing ability — not the quality or value of its shares.
Rated: 14 Apr 2016
This rating is over a year old.
View Full Report52-Week Range
Valuation
Financials (FY2022-23)
Source: CRISILInvestment Thesis
Arch Pharmalabs Limited is a large-scale API manufacturer (Rs.1,340 Cr revenue) that was acquired by Neuland Laboratories in December 2017. The standalone entity is delisted, with equity value reflected through Neuland Laboratories (NSE: NEULANDLAB).
Pros
Cons
Business Segments
API Manufacturing
Manufacture of Active Pharmaceutical Ingredients (APIs) and drug intermediates; full life-cycle support from process chemistry to commercial production.
Custom Synthesis & Contract Manufacturing
Custom synthesis services for global pharma companies; CDMO-style contract manufacturing for small molecules.
Revenue Model
Arch Pharmalabs Limited generates revenue through the manufacture and sale of active pharmaceutical ingredients (APIs) to domestic and international formulation companies. Additional revenue streams include contract manufacturing services and custom synthesis projects undertaken through its technology partnerships with Codexis, Orochem Technologies, and DSM. The company's 9 multipurpose facilities allow rapid product switching to capture market demand across therapeutic areas.
Detailed Analysis
Growth Plans
Global pharmaceutical supply chain diversification (China+1) benefiting Indian API producers
India PLI scheme for pharmaceuticals supporting API manufacturers
Potential IPO listing to raise capital and improve investor visibility
Growing demand for complex APIs and CDMO services globally
Industry Tailwinds
Recent Developments
Global pharmaceutical companies are diversifying API sourcing away from China, benefiting established Indian API manufacturers like Arch Pharmalabs with global technology partnerships.
2024-01Comparable Companies
Frequently Asked Questions
About Arch Pharmalabs
Arch Pharmalabs Limited is a Mumbai-based Active Pharmaceutical Ingredients (API) manufacturer incorporated in 1993. The company was once a significant player in India's bulk drug manufacturing sector, producing APIs for cardiovascular, anti-infective, anti-diabetic, and other therapeutic categories. At its peak, Arch Pharmalabs had manufacturing facilities in Maharashtra and Goa, supplying APIs to formulation manufacturers in India and globally. However, Arch Pharmalabs encountered severe financial difficulties and was referred to the National Company Law Tribunal (NCLT) under the Insolvency and Bankruptcy Code (IBC) 2016. The company underwent insolvency resolution proceedings, marking a major setback for one of India's mid-tier API manufacturers. The insolvency proceedings attracted multiple resolution applicants interested in Arch's manufacturing assets, which retained value due to the company's established drug master files (DMFs) and API manufacturing capabilities. India's API sector is strategically critical — the country produces approximately 20% of global API supplies and is the world's largest supplier of generic APIs. The sector has received significant government attention post-COVID, with a PLI (Production Linked Incentive) scheme for bulk drugs announced in 2020 with Rs 6,940 crore outlay to reduce dependence on Chinese API imports. Arch Pharmalabs' manufacturing assets and intellectual property (drug master files, product registrations) represent valuable resources for the API sector. The company's case reflects the financial challenges faced by debt-laden mid-tier pharma manufacturers competing against both large Indian API companies and Chinese producers.
Key Milestones
Incorporated 1993 in Mumbai, Maharashtra (CIN: U24230MH1993PLC073741)
Common questions about unlisted shares
You buy from and sell to the wisefolio desk — shares route through the desk's demat, money-in before shares-out.
You enquire
· Takes 2 minutesTell us the company and quantity you want. Share your demat details so we can settle directly into your account.
We source & quote
· Typically within 1 business dayOur desk sources the shares and comes back with a firm price and an allocation for the quantity available.
You accept the allocation
· Quote valid for 3 daysReview the price, quantity and total. Accept to lock the allocation. The quote is valid for a short window before it needs re-pricing.
You transfer the funds
· Pay within 2 days of acceptingPay by direct bank transfer to the desk's published account — never to a personal account. We confirm receipt and begin the transfer.
Shares reach your demat
· Usually credited within 2–3 business daysOnce payment is verified, the shares are transferred from the desk's demat into yours, and you receive a transfer confirmation.
A principal desk for unlisted & pre-IPO shares — you transact with us, not a stranger.
You enquire
Takes 2 minutes
We source & quote
Typically within 1 business day
You accept the allocation
Quote valid for 3 days
You transfer the funds
Pay within 2 days of accepting
Shares reach your demat
Usually credited within 2–3 business days
Unlisted shares are illiquid and carry higher risk. Pricing is indicative, not live, and these are private off-market transactions with no exchange settlement guarantee. Read the full risk disclosure.
Global pharmaceutical supply chain diversification (China+1) benefiting Indian API producers
India PLI scheme for pharmaceuticals supporting API manufacturers
Potential IPO listing to raise capital and improve investor visibility
Growing demand for complex APIs and CDMO services globally
Industry Headwinds
US FDA regulatory scrutiny on Indian manufacturing facilities
Competition from large-scale listed API companies with superior capital access
Volatile raw material costs and dependence on Chinese key starting materials
Environmental compliance costs at 9 manufacturing facilities
Company under NCLT insolvency proceedings — equity investors face very high risk of capital loss
Source: IBBI / MCA Public Records
Financial default on debt obligations led to IBC referral
Source: Media Reports / Public Records
CRISIL rating of CARE D — sub-investment grade; indicates elevated credit risk
Source: CRISIL
API manufacturers must comply with WHO GMP, US FDA, and EU GMP standards; any warning letter or import alert can significantly disrupt revenues
API manufacturing is dependent on key starting materials, many imported from China; supply disruptions and price volatility pose significant operational risk
Competes with large Indian API manufacturers like Divi's Laboratories, Laurus Labs, Solara Active Pharma, and global API makers
API manufacturing generates hazardous waste and effluents; strict environmental compliance requirements add to operating costs and regulatory risk
Unlisted status with limited public financial disclosures increases investment uncertainty despite confirmed ISIN
DIVISLAB · ~1,00,000 Cr
PE: ~55xx
LAURUSLABS · ~22,000 Cr
PE: ~35xx
SOLARA · ~1,500 Cr
AARTIPHARMA · ~3,000 Cr
PE: ~25xx
Mitsui (Japan) acquired 5% stake initially, followed by 25% stake for Rs.372 Cr in September 2012
Acquired by Neuland Laboratories on December 13, 2017 — now part of Neuland Group
Revenue Rs.1,340 Cr (FY23); EBITDA CAGR and revenue CAGR both ~2% (1-year)
Registered at Unit 301-303, H Wing, Tex Centre, Chandivali, Andheri East, Mumbai
Be the first to discuss Arch Pharmalabs — share your research, ask questions, or compare notes with other investors.

Anglo French Drugs & Industries
Pharmaceuticals
₹1,078
+0.00%

Sigachi Laboratories
Pharmaceuticals
₹39
+0.00%

Group Pharmaceuticals Limited
Pharmaceuticals
₹55
+0.00%

Gynofem Healthcare and Pharmaceuticals Limited
Pharmaceuticals
₹48
+0.00%

Somerset Therapeutics
Pharmaceuticals
₹207
+0.00%

East India Pharmaceutical Works
Pharmaceuticals
₹39
+0.00%