 "Eris Lifesciences to acquire 30% stake in Swiss Parenterals for ₹423 cr")
Ahmedabad-based Eris Lifesciences on Tuesday said its board has approved the acquisition of the remaining 30 per cent stake in its subsidiary Swiss Parenterals for a total cash consideration of Rs 423.3 crore.
“The proposed transaction will be effected as a share swap through a preferential issuance of Eris equity shares to the seller,” Eris said in a regulatory filing on the bourses. The proposed transaction is expected to complete tentatively prior to March 31, 2026.
How will the share swap be executed?
This swap will be discharged by the company by way of issuance of up to 2,306,372 equity shares for a face value of Rs 1 on a preferential basis to Swiss Parenterals’ whole-time director Naishadh Shah.
With this, Swiss Parenterals will become a wholly owned subsidiary of Eris, which already held a 70 per cent stake in it. Swiss has a presence in around 80 countries and produces both generic and specialty pharmaceutical products for the domestic and international market.
What are Swiss Parenterals’ recent financials?
It had reported Rs 351.11 crore as turnover in the financial year 2024–25 (FY25), compared to Rs 282.97 crore in FY24 and Rs 220.80 crore in FY23.
How will the consolidation benefit Eris?
Eris said that the move comes with the objective of fully consolidating its position, enhancing operational synergy and strengthening its long-term strategic presence.
“This consolidation is expected to provide complete managerial control, enable full financial consolidation, improve cost efficiencies, streamline governance and contribute to enhanced shareholder value,” the drugmaker added.
What approvals are required for the transaction?
Separately, Eris will seek shareholder approval via postal ballot for the preferential allotment and for clearing the related-party nature of the transaction, given Shah’s position within the subsidiary. The cut-off date for voting is 21 November 2025.
How did Eris shares perform on the announcement day?
On Tuesday, Eris Lifesciences shares dropped by 1.74 per cent, ending the day’s trade at Rs 1,652.60 apiece on the Bombay Stock Exchange (BSE).