Latest news with #CephLifesciencesPrivateLimited
Mint
7 days ago
- Business
- Mint
Nectar Lifesciences soars around 20%, hits 52-week low after announcing ₹1,270 crore biz sale to Ceph Lifesciences
Shares of Nectar Lifesciences Ltd. plunged nearly 20 percent in intra-day trading on Tuesday, July 8, hitting a fresh 52-week low of ₹ 18.60. The sharp decline came after the company announced the strategic sale of its core Active Pharmaceutical Ingredients (API) and formulations business to Ceph Lifesciences for ₹ 1,270 crore, in a slump sale transaction. In a regulatory filing, the company confirmed that it had signed a definitive Business Transfer Agreement (BTA) with Ceph Lifesciences Private Limited for the transfer of its core operations involving manufacturing, distribution, and marketing of APIs and formulations. The total consideration for the transaction stands at ₹ 1,270 crore. Additionally, Nectar Lifesciences also signed an Asset Purchase Agreement (APA) for the sale of its menthol business assets to the same buyer for ₹ 20 crore. The transaction is part of a broader long-term strategy aimed at streamlining operations and repositioning the company for future growth. Nectar Lifesciences said the proceeds from the business divestiture will be used to repay existing debt, invest in new and emerging areas, reward shareholders (subject to regulatory approvals), and fund future corporate growth initiatives. By exiting mature and capital-intensive business segments, the company seeks to unlock shareholder value and reposition itself for innovation-driven expansion. Commenting on the development, Mr. Sanjiv Goyal, Promoter and Chairman of Nectar Lifesciences, stated: 'This transaction marks a significant milestone in Nectar Lifesciences' evolution. By divesting mature segments of our business, we are laying the foundation for a focused and agile organization geared towards innovation and long-term value creation. We thank our stakeholders for their continued trust and support as we embark on this next chapter.' According to the company's official disclosure: Buyer: Ceph Lifesciences Private Limited (a third-party, non-promoter entity) Consideration: ₹ 1,270 crore for the core API and formulations business; ₹ 20 crore for menthol business assets Completion Timeline: On or before September 20, 2025, subject to customary regulatory and shareholder approvals Shareholding Pattern: The deal will not result in any change to the company's existing shareholding structure. The Board of Directors of Nectar Lifesciences approved the deal on July 7, 2025, and an Extraordinary General Meeting (EGM) has been scheduled for August 4, 2025, to seek shareholder approval. Following the announcement, investor sentiment turned sharply negative. The stock plummeted 19.6 percent to a 52-week low of ₹ 18.60. It is now trading nearly 67 percent below its 52-week high of ₹ 56.39, which it had touched in September 2024. Over the past one year, the stock has shed more than 26 percent of its value. In the current month alone, the stock is down over 14 percent after recording an 18 percent loss in June. Notably, the counter had gained 23 percent in May but had remained under pressure in the first four months of the calendar year, registering declines of 4 percent in April, 13 percent in March, 22 percent in February, and 13 percent in January. Nectar Lifesciences Ltd. is a BSE and NSE-listed pharmaceutical company known for its research-driven approach and global distribution of high-quality APIs and finished formulations. The company has a long-standing focus on operational excellence and value creation. The current transaction marks a pivotal shift in Nectar's strategic roadmap as it pivots toward higher-value and possibly less capital-intensive verticals in the healthcare space.
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Business Standard
7 days ago
- Business
- Business Standard
Nectar Lifesciences hits 52-week low; why are investors dumping stock?
Nectar Lifesciences share price hit a 52-week low at ₹18.6 per share, slipping 19.6 per cent in trade. At 10 AM, Nectar Lifesciences shares were trading 16.62 per cent lower at ₹19.31 per share on the BSE. In comparison, the BSE Sensex was up 0.04 per cent at 83,478.31. The selling pressure came after the company's move to sell off its core business division to Ceph Lifesciences Private Limited disappointed investors. In the exchange filing the company said that it has inked a definitive Business Transfer Agreement (BTA) for the sale of its core business division—comprising the manufacture, distribution, and marketing of active pharmaceutical ingredients (APIs) and formulations—to Ceph Lifesciences Private Limited, for a consideration of ₹1,270 crore, on a slump sale basis. Additionally, the company has entered into an Asset Purchase Agreement (APA) for the sale of its menthol business assets to Ceph Lifesciences for ₹20 crore, marking a comprehensive restructuring move aligned with its future strategy. "By divesting mature segments of our business, we are laying the foundation for a focused and agile organisation geared towards innovation and long-term value creation," Nectar Lifesciences Promoter and Chairman Sanjiv Goyal said. The proceeds from the sale will be used to: repay existing debt, invest in new and emerging business areas, reward shareholders, subject to applicable approvals, and fund future corporate and growth initiatives. The transaction was approved by the company's board on July 7, 2025, and is subject to shareholder approval at the Extraordinary General Meeting (EGM) to be held on August 4, 2025. The transaction is expected to be completed on or before September 20, 2025, and there will be no change in the company's existing shareholding. ALSO READ | About Nectar Lifesciences Limited Nectar Lifesciences Ltd. is an established pharmaceutical company focused on research-driven innovation, manufacturing, and global distribution. The company is listed on the NSE and BSE and is committed to enhancing stakeholder value through disciplined strategy and operational excellence.
Mint
7 days ago
- Business
- Mint
Nectar Lifesciences soars around 20%, hits 52-week low after announcing ₹1,270 crore biz sale to Ceph Lifesciences
Shares of Nectar Lifesciences Ltd. plunged nearly 20 percent in intra-day trading on Tuesday, July 8, hitting a fresh 52-week low of ₹ 18.60. The sharp decline came after the company announced the strategic sale of its core Active Pharmaceutical Ingredients (API) and formulations business to Ceph Lifesciences for ₹ 1,270 crore, in a slump sale transaction. In a regulatory filing, the company confirmed that it had signed a definitive Business Transfer Agreement (BTA) with Ceph Lifesciences Private Limited for the transfer of its core operations involving manufacturing, distribution, and marketing of APIs and formulations. The total consideration for the transaction stands at ₹ 1,270 crore. Additionally, Nectar Lifesciences also signed an Asset Purchase Agreement (APA) for the sale of its menthol business assets to the same buyer for ₹ 20 crore. The transaction is part of a broader long-term strategy aimed at streamlining operations and repositioning the company for future growth. Nectar Lifesciences said the proceeds from the business divestiture will be used to repay existing debt, invest in new and emerging areas, reward shareholders (subject to regulatory approvals), and fund future corporate growth initiatives. By exiting mature and capital-intensive business segments, the company seeks to unlock shareholder value and reposition itself for innovation-driven expansion. Commenting on the development, Mr. Sanjiv Goyal, Promoter and Chairman of Nectar Lifesciences, stated: 'This transaction marks a significant milestone in Nectar Lifesciences' evolution. By divesting mature segments of our business, we are laying the foundation for a focused and agile organization geared towards innovation and long-term value creation. We thank our stakeholders for their continued trust and support as we embark on this next chapter.' According to the company's official disclosure: Buyer: Ceph Lifesciences Private Limited (a third-party, non-promoter entity) Consideration: ₹ 1,270 crore for the core API and formulations business; ₹ 20 crore for menthol business assets Completion Timeline: On or before September 20, 2025, subject to customary regulatory and shareholder approvals Shareholding Pattern: The deal will not result in any change to the company's existing shareholding structure. The Board of Directors of Nectar Lifesciences approved the deal on July 7, 2025, and an Extraordinary General Meeting (EGM) has been scheduled for August 4, 2025, to seek shareholder approval. Following the announcement, investor sentiment turned sharply negative. The stock plummeted 19.6 percent to a 52-week low of ₹ 18.60. It is now trading nearly 67 percent below its 52-week high of ₹ 56.39, which it had touched in September 2024. Over the past one year, the stock has shed more than 26 percent of its value. In the current month alone, the stock is down over 14 percent after recording an 18 percent loss in June. Notably, the counter had gained 23 percent in May but had remained under pressure in the first four months of the calendar year, registering declines of 4 percent in April, 13 percent in March, 22 percent in February, and 13 percent in January. Nectar Lifesciences Ltd. is a BSE and NSE-listed pharmaceutical company known for its research-driven approach and global distribution of high-quality APIs and finished formulations. The company has a long-standing focus on operational excellence and value creation. The current transaction marks a pivotal shift in Nectar's strategic roadmap as it pivots toward higher-value and possibly less capital-intensive verticals in the healthcare space. Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
