Cohance Lifesciences Ltd: Jefferies Initiates Coverage with a Buy Rating
On August 25, 2025, global brokerage Jefferies initiated coverage on Cohance Lifesciences Ltd with a ‘Buy’ rating, highlighting the company’s potential in the evolving Contract Research, Development, and Manufacturing Organization (CRDMO) sector in India. Jefferies set a price target of ₹1,150 per share for Cohance, reflecting optimism about the company’s future growth prospects.
Cohance Lifesciences Ltd, formerly known as Suven Pharmaceuticals Limited, operates as a technology-driven contract development and manufacturing organization (CDMO). The company provides integrated solutions in custom synthesis, process research and development (R&D), and manufacturing. Its business units include pharmaceutical CDMO, specialty chemical CDMO, and active pharmaceutical ingredient (API) manufacturing, including formulations. The company’s integrated CDMO model supports comprehensive molecule development and life cycle management for both pharmaceutical and specialty chemical partners.
As of August 21, 2025, Cohance’s stock closed at ₹884.7 on the National Stock Exchange of India, with a market capitalization of ₹343,560 crore. The company’s 52-week high was ₹1,353.95, and its 52-week low was ₹882.05. The price-to-earnings ratio stood at 96.56.
Jefferies’ positive outlook on Cohance is part of a broader assessment of the Indian CRDMO sector, which the brokerage describes as a “firehose of opportunities.” The sector is transitioning from quasi-chemical firms to strategic partners for innovators, supported by strong capabilities and geographic diversification. Jefferies also upgraded Divi’s Laboratories to a ‘Buy’ rating, with a target price of ₹7,150 per share, up from ₹6,750.
This development underscores the growing investor interest in Indian CRDMOs, which are now being recognized as global peers with an industry market capitalization of $40-50 billion. The sector’s evolution from Contract Research and Manufacturing Services (CRAMS) to a more strategic role in the pharmaceutical industry has positioned Indian CRDMOs at a turning point, attracting significant attention from international investors.