Earnest enterprise

Dr Cyrus Poonawalla, chairman and managing director of Poona’s renowned Serum Institute of India, was presented the prestigious Ernst and Young Entrepreneur of the Year 2007 Award in Healthcare and Life Sciences at a function in New Delhi on November 20, 2007. Dubbed the ‘Oscars’ of business, the Awards are given in over 50 countries to honor entrepreneurs in different fields (services, manufacturing, lifetime achievement, etc) "whose ingenuity and perseverance have created and sustained successful, growing business ventures,” as per Ernst and Young’s website www.ey.com

The panel of judges comprised some of the most respected names in Indian industry — K. V. Kamath, Kumar-amangalam Birla, Keki Dadiseth, Ashish Dhawan, Kiran Mazumdar-Shaw and S. Ramadorai. The citation accompanying the Award stated: "The company (Serum Institute) manufactures and sells 85 percent of the viral vaccines’ demand globally and markets its products to over 140 countries… Serum Institute was the first Indian company to receive WHO (World Health Organisation) accreditations for supplying vaccines to UN agencies as well as the developer of the world’s first liquid rabies vaccine. It has also maintained its focus on being a low cost producer of high quality vaccinations. The products are approximately 40 percent cheaper, on an average, than its international competitors.”

Dr Cyrus Poonawalla (right) receiving Entrepreneur of the Year Award from Delhi chief minister Sheila Dixit

Starting with small successes and a five lakh rupee capital in 1966, Serum Institute has grown to become one of the largest producers of measles, mumps and rubella vaccines, DTP (diphtheria, tetanus, pertussis), BCG, tetanus toxoid and Hepatitis-B recombinant and combination vaccines and anti-snake venom serum. The Serum Institute of India Research Foundation was established in 1977. "Poonawalla actively supports the cause of leprosy patients,” the citation adds.

In February last year, Poonawalla had inaugurated the development of the Serum Bio Pharma Park, India’s first biotech Special Economic Zone (SEZ). The Park is adjoining Serum Institute’s existing manufacturing facility at Hadapsar and is a sector specific SEZ on 55 acres of notified land (expected to increase later) meant for biotechnology and pharmaceutical products. The Poonawalla Group’s flagship company was expected to pump in around Rs 1,200 crore, with the project expected to be completed by 2010, as had reported Biospectrum in a cover feature last year.

UK’s luxury spa Grayshott (above) and Fawsley Hall (bottom right); international fashion at Poonawalla store (bottom)

Serum Institute is planning to go public, with what could be one of the largest IPOs (Initial Public Offer) in the pharma sector, though Poonawalla declined to confirm any time frame for the issue, stated hospitalequipment news.com in a report datelined July 7, 2007, corroborated by The Economic Times, November 24, 2007 in a lengthy profile on Poonawalla. The paper also mentions that Poonawalla is mulling changing the name of the company to a more appropriate one which reflects its position in the Group. When contacted by Parsiana, the chairman indicated that he would comment on this at a more opportune time.

Addressing a World Zarathushti Chamber of Commerce, Dubai delegates’ luncheon meet, Poonawalla had enunciated his personal philosophy, as reported in Synergyz, June 2007: "I have always believed that any transaction should have equity. I have been telling that to my son Adar also that if you are able to be tough and drive a hard bargain and the deal is in your favor, it will not last. I can’t drive a tough bargain. Though I can be firm in my views, I am soft on negotiation. I feel that it has brought me a lot of goodwill and in the long run I have not lost out financially also…You can’t go through life believing that God gives and God takes away. You have to perform and go and get what you want through your hard work but you don’t have to be ruthless in your pursuit.”

The Poonawallas have added two more companies to their Group —Poonawalla Fashions Private Limited and Hotels and Resorts. Under the leadership of Yohan Poonawalla (Zavaray’s son), Hotels and Resorts has acquired a stake in two hotels in the UK – a luxury spa in Surrey called Grayshott, an hour from London, and a countryside hotel called Fawsley Hall, within easy reach of the Formula 1 racetrack at Silverstone. "The Great Hall was originally commissioned in the year 1537… various Formula 1 drivers including Michael Schumacher frequent the hotel,” describes the website www.poonawallagroup.com Grayshott has 47 acres of gardens and woods and includes a golf course, indoor and outdoor swimming pool, etc. The stately manor house Fawsley Hall is surrounded by 2,000 acres of rolling hills and parklands, the site adds.

Yohan Poonawalla is also reported to be working with the Intercontinental Group of Hotels to bring to Poona the luxury hotel brand. "This strategic partnership will successfully combine our local knowledge and Intercontinental’s global expertise to help us meet the varied needs of business travelers,” the businessman is quoted on www.ftnnews.com (Focus on Travel News).

Poonawalla Fashions opened its first high-end multi-brand store ESCAPE at the Grand Hyatt Shopping Plaza at the Grand Hyatt Hotel, Santacruz (East) near the Bandra-Kurla financial district in Bombay. ESCAPE stocks the latest in clothing and accessories from luxury brands in its over 7,250 sq ft — Just Cavalli, Dolce and Gabbana, Versus, C’N’C, etc. "The true essence of international fashion is what we want to familiarize Indian audiences with by going beyond the ordinary and providing only the best in high-end fashion to all,” Yohan Poonawalla is reported to have stated at the time of the launch.