Piramal Enterprises and Piramal Pharma demerger
Piramal Pharma – The National Company Law Tribunal (NCLT) gave its approval on Friday to Piramal Enterprises’ plan to demerge its pharmaceutical division and streamline its corporate structure. The demerger of the enterprises’ pharmaceutical businesses and the streamlining of the corporate structure were already agreed by the Piramal Group’s Board in October 2021.
The business disclosed in its regulatory filing to the stock markets that the NCLT order has now made it possible for the creation of two distinct listed corporations, Piramal Enterprises Limited (NBFC) and Piramal Pharma Limited.
The NCLT’s approval of the demerger of our Pharma company and the streamlining of the corporate structure is a significant milestone, according to Ajay Piramal, chairperson of Piramal Enterprises. By the third quarter of the current fiscal year, we are on pace to complete Piramal Pharma’s demerger and separate listing.
The company previously has approval from the RBI, SEBI, stock exchanges, as well as from our creditors and equity shareholders, for the composite scheme of the arrangement.
The performance of both Piramal Enterprises and Piramal Pharma is anticipated to increase following the demerger as they will be more focused and able to seek faster expansion, according to the statement. PEL shareholders will get 4 shares of PPL for every 1 share of PEL they already own as compensation for the demerger.
With revenues of close to $1 billion, the pharmaceutical company will be a sizable public company. Through end-to-end manufacturing capabilities spanning 15 global locations and a global distribution network of more than 100 countries, it offers a portfolio of unique products and services, Piramal continued.