INDIA; JAPAN —A growing preference for private credit among Asian corporations is transforming how cross-border acquisitions are financed, as traditional banking channels face increasing competition from non-bank lenders. Indian active pharmaceutical ingredient producer Gujarat Themis Biosyn has closed debt financing to fund its acquisition of Japanese peer MicroBiopharm Japan. The transaction highlights how middle-market pharmaceutical firms are leveraging private debt networks and structured onshore notes to execute strategic international buyouts swiftly.
To support the acquisition valued at ¥21.50 billion, Gujarat Themis Biosyn raised ¥9.20 billion through a private credit facility provided by regional lender Orion Capital Asia. The debt package was complemented by an onshore issuance of ₹5.85 billion in secured debentures, subscribed by domestic private credit managers Avendus Capital and Edelweiss Alternatives. Proceeds from the local issuance are being routed through a wholly owned Japanese vehicle to complete the equity investment and support ongoing working capital requirements.
Formed in 1981, Gujarat Themis Biosyn specializes in the commercial fermentation and manufacturing of active pharmaceutical ingredients, historically becoming the first Indian enterprise to initiate commercial production of the anti-tuberculosis drug Rifampicin. The acquisition of MicroBiopharm Japan expands its technical capabilities and market footprint across high-value Asian healthcare segments.
This financing arrangement reflects a broader structural shift across Asian capital markets, where corporate borrowers increasingly rely on private credit funds for speed and deal flexibility. By bypassing conventional syndicated loan structures, middle-market enterprises can secure customized financing tailored to foreign target valuations and regulatory timelines. As cross-border M&A activity accelerates within the Asian pharmaceutical and specialty chemical sectors, non-bank private debt is becoming a primary catalyst for international consolidation.
