Glenmark Pharma To Divest Majority stake In subsidiary Life Sciences unit

Glenmark Pharmaceuticals announced the sale of a 75% stake in its subsidiary company Glenmark Life Sciences to Nirma for $615 per share, for a total consideration of $5.651.75. With the equity reduction, the Mumbai-based drugmaker would retain a 7.84 percent ownership in Glenmark Life Sciences.

The company's board of directors considered and approved the sale of 91,895,379 shares representing 75 percent of Glenmark Life Sciences Ltd's share capital to Nirma Ltd at a price of 615 per share, totaling 5,651.5 crore, Glenmark Pharma said in a regulatory filing to the stock exchanges. The company's board of directors considered and approved the sale of 91,895,379 shares representing 75 percent of Glenmark Life Sciences Ltd's share capital to Nirma Ltd at a price of 615 per share, totaling 5,651.5 crore, Glenmark Pharma said in a regulatory filing to the stock exchanges. In August, Nirma made a binding proposal for Glenmark Pharmaceuticals.

According to sources, private equity firm ChyrsCapital was also vying for a share in Glenmark Pharmaceuticals. The acquisition is subject to customary regulatory approvals. With this deal, the Nirma Group forays into active pharmaceutical ingredient (API) platform and expands its existing presence in pharmaceuticals portfolio consisting of injectables, parentals and ophthalmic products. This transaction closely follows the group’s acquisition of Stericon Pharma Private Limited in March 2023, as per livemint. Glenmark Life Sciences Limited's primary business is the development, production, and marketing of APIs. The company's product portfolio includes cardiovascular (CVS) illness, central nervous system (CNS) problems, diabetes, gastrointestinal health, oncology, pain management, and anti-infectives.