New Delhi, June 24 -- Animal healthcare focussed firm Zenex Animal Health Pvt Ltd and global private equity firm EQT are evaluating investment in a company that offers a wide range of products specifically for cattle, poultry, swine and aqua industries, at least two people aware of the development told VCCircle.

Zenex Animal Health, which is backed by homegrown private equity firm Multiples Alternate Asset Management, and the PE firm EQT are in the fray to invest in Bengaluru-based Natural Remedies Pvt Ltd, one of the aforementioned individuals said.

Zenex, a second person said, may consider buying several brands of Natural Remedies. The deal size is likely to be upwards of Rs 500 crore ($52.8 million). However, the final contours of the deal couldn't be immediately ascertained.

Email queries sent to Natural Remedies and Zenex remained unanswered till the time of publishing this article. EQT declined to comment on the development.

Launched in 1998, Natural Remedies Pvt Ltd makes standardised herbal extracts and herbal health nutritional supplements with manufacturing facilities located in Bengaluru and Krishnagiri, Tamil Nadu.

It started operations with a herbal veterinary segment as a partnership firm from 1960 and subsequently forayed into herbal human health care segment in 2000, primarily catering to the international markets.

Currently, majority of the sales comes from AHP (animal healthcare products). To cater to increased demand for its products, the company has installed another herbal veterinary unit in Indore, MP under its wholly owned subsidiary Natural Living Pvt Ltd, which commenced operations from June 2023.

The firm had posted net sales of Rs 523 crore in FY25 as against Rs 453 crore a year ago. The company's PAT stood at Rs 94 crore as compared to Rs 76.9 crore during the period under review.

The overall animal nutrition space has seen a handful of deals in the recent past. For instance, in June last year, global PE major Advent International had picked up a significant minority stake in Felix Pharmaceuticals Pvt Ltd.

Earlier this year, Zenex, which is also gearing up for a stock market debut, had struck a deal to acquire a Netherlands-based animal nutrition company.

Published by HT Digital Content Services with permission from VC Circle.