- Home
- Medical news & Guidelines
- Anesthesiology
- Cardiology and CTVS
- Critical Care
- Dentistry
- Dermatology
- Diabetes and Endocrinology
- ENT
- Gastroenterology
- Medicine
- Nephrology
- Neurology
- Obstretics-Gynaecology
- Oncology
- Ophthalmology
- Orthopaedics
- Pediatrics-Neonatology
- Psychiatry
- Pulmonology
- Radiology
- Surgery
- Urology
- Laboratory Medicine
- Diet
- Nursing
- Paramedical
- Physiotherapy
- Health news
- Fact Check
- Bone Health Fact Check
- Brain Health Fact Check
- Cancer Related Fact Check
- Child Care Fact Check
- Dental and oral health fact check
- Diabetes and metabolic health fact check
- Diet and Nutrition Fact Check
- Eye and ENT Care Fact Check
- Fitness fact check
- Gut health fact check
- Heart health fact check
- Kidney health fact check
- Medical education fact check
- Men's health fact check
- Respiratory fact check
- Skin and hair care fact check
- Vaccine and Immunization fact check
- Women's health fact check
- AYUSH
- State News
- Andaman and Nicobar Islands
- Andhra Pradesh
- Arunachal Pradesh
- Assam
- Bihar
- Chandigarh
- Chattisgarh
- Dadra and Nagar Haveli
- Daman and Diu
- Delhi
- Goa
- Gujarat
- Haryana
- Himachal Pradesh
- Jammu & Kashmir
- Jharkhand
- Karnataka
- Kerala
- Ladakh
- Lakshadweep
- Madhya Pradesh
- Maharashtra
- Manipur
- Meghalaya
- Mizoram
- Nagaland
- Odisha
- Puducherry
- Punjab
- Rajasthan
- Sikkim
- Tamil Nadu
- Telangana
- Tripura
- Uttar Pradesh
- Uttrakhand
- West Bengal
- Medical Education
- Industry
Cipla promoters in talk with Blackstone, Baring Asia for stake sale: Report
New Delhi: Top promoters of drug giant Cipla are in talks with private equity players including Blackstone and Baring Asia to sell a part of their stake in the company.
Sources familiar with the matter told Money Control that the drug maker's shareholders are looking to sell a part of their total 33.47% stake in the firm to strategic investors who can oversee a revamp, help enhance capital allocation and improve operational efficiency.
An investment bank has been hired to advise on the deal, and Blackstone, Baring Asia, among others, are in talks to explore a deal, a recent Money Control report said, citing three independent sources.
“They (promoters) are evaluating options for a strategic investor to come on board to revamp future strategy to enhance capital allocation, operational efficiency to improve return metrics,” the report said, further citing one of the sources.
However, the company is not aware of any event that requires disclosure under listing regulations, Cipla said in a exchange statement.
The drug maker has issued a clarification on CNBC-TV18, saying that "the company is not aware of any event that requires disclosure under Listing Regulations. The company will make appropriate disclosure in compliance with the listing regulations as and when any such requirement arises."
Also Read: Cipla Net Profit Up 45 Percent At Rs 526 Crore In Q4
The promoters are believed to have mandated Kotak for the exercise, sources told TOI. Last year, the promoter family had offloaded around 2% through block deals for about Rs 1,830 crore. In the past, the promoter family had denied speculation of any stake sale, saying it was fully committed to the business.
The people in the know of the deal also mentioned that with the second generation promoters, YK Hamied and MK Hamied, Chairman & Vice Chairman Cipla, respectively being octogenarians and Samina Hamied, Executive Vice Chairperson, being the only member from the second generation to lead Cipla, the company needs a clear road map on succession.
A source also told Money Control that the promoters are “well-coordinated” and have been taking active role in the company’s operations. “Succession issue has been a long standing concern at Cipla, company needs a clear leadership plan. It has been often seen as a takeover candidate for this reason," one of the sources shared.
Farhat Nasim joined Medical Dialogue an Editor for the Business Section in 2017. She Covers all the updates in the Pharmaceutical field, Policy, Insurance, Business Healthcare, Medical News, Health News, Pharma News, Healthcare and Investment. She is a graduate of St.Xavier’s College Ranchi. She can be contacted at editorial@medicaldialogues.in Contact no. 011-43720751