Shilpa Medicare ink pact to sell 31 percent stake in Sravathi Advanced Process Technologies for Rs 49.6 crore
Karnataka: Shilpa Medicare Limited has announced that it has entered into a Share Purchase Agreement and Shareholders' Agreement with Ash Ingredients Inc. and Varcatalyst LLP to sell 31% of its stake held in Sravathi Advanced Process Technologies Pvt. Ltd. for a total consideration of Rs 49.6 crore, subject to customary closing conditions.
Following the transaction, Shilpa’s shareholding in Sravathi will reduce from 65% to 34%, while the technocrat founders will continue to hold 35%. Ash Ingredients Inc. and Varcatalyst LLP will hold 22% and 9% respectively.
As per the BSE filing, the transaction aims to bring in strategic and financial partners to bolster the business of Sravathi Technologies, a company engaged in advanced differentiated process technologies & research and development.
As part of the agreement, Ash Ingredients Inc. and Varcatalyst LLP have the right to appoint a director each on the Board of Sravathi.
Upon Closing of the transaction, the new agreements will supersede the earlier joint venture agreement dated June 7, 2019, between Shilpa, Technocrats, and Sravathi.
Shilpa Medicare is a global pharmaceutical company specializing in contract development and manufacturing services for small and large molecules. With a strong emphasis on oncology and a growing presence in biologics, the company offers comprehensive solutions from discovery to commercial supply. Shilpa Medicare operates R&D and manufacturing facilities, serving partners across North America, Europe, and Asia.
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