Cipla rises on inking pact to sell 51.18% stake in Cipla Quality Chemical Industries!

The proposed sale is expected to be completed by May 31, 2023.

Cipla and its wholly-owned subsidiaries

Cipla and its wholly owned subsidiaries - Cipla (EU), UK and Meditab Holdings, Mauritius, have entered into a Share Purchase agreement with Africa Capitalworks SSA 3 on March 14, 2023, for the sale of a 51.18% stake held in Cipla Quality Chemical Industries (CQCIL), Uganda. After the sale, CQCIL will cease to be a subsidiary of the Company. The proposed sale is expected to be completed by May 31, 2023.

The consideration to be received by Cipla (EU) and Meditab Holdings shall be in the range of $25-30 million which shall be subject to annualized audited EBITDA of CQCIL for FY23 and other adjustments as agreed between the parties and stated in the Share Purchase Agreement.

Share price movement of Cipla Limited

Today, the stock opened at Rs 876.90, with a high and low of Rs 883.55 and Rs 872.90. The stock closed trading at Rs 878.15, up by 0.68%.

The stock has a 52-week high of Rs 1185.20 and a 52-week low of Rs 853.50. The company has a ROCE of 15.7% with a market capitalisation of Rs 70,879 crore.

Company profile

Cipla Limited is a global pharmaceutical company focused on the responsible and sustainable growth of complex generics and deepening its portfolio in home markets of India, South Africa and North America, as well as key regulated and emerging markets. The company is in the business of manufacturing, developing, and marketing a wide range of branded and generic formulations and Active Pharmaceutical Ingredients (APIs). The company has a wide network of manufacturing, trading and other incidental operations in India and International markets.