The Board of Directors of TTK Healthcare Ltd. (TTKHC) has decided to sell its human pharmaceuticals business as a going concern on a slump sale basis to BSV Pharma Pvt. ltd and Miransa Ltd. for ₹805 crore.
On Monday, the Board approved the Audit Committee’s recommendations followed by the signing of definitive agreements with BSV Pharma Pvt. ltd (BSV) and Miransa Ltd. (a subsidiary of Advent International).
The Company will receive 74% of the consideration in cash and the remaining 26% in the form of shares, each immediately upon transfer of the Company, adjustments customary at the time of the transfer.
TTKHC’s core competency relates to various areas other than human drug formulations and it intends to invest in and grow these businesses, TTKHC said in a regulatory filing.
TTKHC has multiple businesses such as consumer products, personal care products, food products, medical devices, animal welfare products and prescription human pharmaceutical formulations.
Therefore, the Management Board has decided to spin off the Human Pharma division in exchange for what is considered an attractive consideration and to use the proceeds in areas where core competencies exist and for the benefit of all stakeholders.
During FY21, the human pharma division had sales of around £160bn (25% of the company’s total sales).