Pharmaceutical packaging startup Sorich raises $1 million in a pre-IPO round

Pharmaceutical packaging startup Sorich has raised $1 million in a pre-IPO funding round led by Mumbai-based BizDateUp.

The startup will use the raised capital to optimize production capacity and enhance working capital, facilitating the development of patented products and necessary certifications.

Additionally, it will also focus on upgrading existing machinery to produce high-margin products, including the recently introduced Heat Transfer Labels (HTL).

What does Sorich do?

Founded in 2011 by Chandrahas Kotian, Sorich Foils Private Limited has established itself as a leading player in the aluminium packaging industry, catering to the pharmaceutical, food, and FMCG sectors. 

The startup manufactures various products, including aluminium foils, coated glassine paper, and flexible packaging. Its products are used in the pharmaceutical, food and dairy, confectionery, and personal care industries.

Sorich claims that its demand for innovative solutions has surged, particularly in areas such as child-resistant foils and extrusion laminate. Furthermore, the startup's patented Pharma Lidding foil has received recognition from Zydus Healthcare.

The growth potential of pharmaceutical packaging market

According to the World Packaging Organization (WPO), the pharmaceutical packaging market is expected to reach $229.9 billion by 2027, growing at a compound annual growth rate (CAGR) of approximately 14.9%.

The report also notes that following the Covid-19 pandemic, around 2,600 tons of plastic waste were generated, with approximately 85% of healthcare waste comprising packaging materials, and the remaining 15% comprising chemical and hazardous waste.

Today, consumers are becoming aware of healthier lifestyles, easier access to healthcare facilities, and an increasing global ageing population, boosting the pharmaceutical packaging market.

“Recent studies have revealed that thousands of chemicals used in food packaging and production are leaching into the food itself, with over 3,600 chemicals identified in human bodies, some of which pose health risks while little is known about others. This issue extends to pharmaceutical packaging as well. These alarming findings have driven us to develop solutions aimed at preventing such contamination," said Chandrahas Kotian.

“We are committed to revolutionizing pharmaceutical packaging through quality, innovation, and sustainability. Through the investment, we aim to deliver packaging solutions that improve human health and lead the industry with innovative practices in pharmaceutical packaging,” he added.

Investor comments

Jeet Chandan, co-founder of BizDateUp, said, “In recent times, the pharmaceutical landscape has undergone a rapid evolution. Changing market demands, rising costs, and increasingly stringent regulations present new challenges that pharmaceutical companies must navigate to achieve success.”

He further added, “This investment embodies our core belief in the transformative potential of Sorich’s innovative solutions. We are thrilled to support a company that is not only dedicated to quality and innovation but also positioned to make a substantial impact on global health through enhanced pharmaceutical packaging.”

Jyotir Jain, director, BizDateUp, said, "Pharmaceutical packaging is undergoing constant evolution, with new advancements guiding the industry toward a future where efficiency, reliability, and safety are essential. Our investment in Sorich enables them to scale their solutions and elevate global healthcare standards."