Jubilant Pharmova to acquire 25.21% stake of Greencure; Stock surges 6%

4 Apr 2022 , 03:04 PM

Jubilant Pharmova Limited has entered into a Share Purchase Agreement, and Share Subscription and Shareholders Agreement on April 1, 2022 for acquiring equity and preference shares of SPV Laboratories Private Limited (Greencure)

The company will acquire 29,645 equity shares of the face value of Rs10 each at a premium of Rs74.33 per share and subscription of 10,07,937 Compulsorily Convertible Series A Preference Shares (Series A CCPS) of face value of Rs10 each at a premium of Rs74.33 per share, aggregating to Rs8.75 crore.

This will amount to the acquisition of 25.21% of the share capital of Greencure on a fully diluted basis.

At around 3.08 pm, Jubilant Pharmova Limited was trading at Rs435.40 per piece up Rs25.70 or 6.27% on the BSE. 

“Greencure products have differentiated positioning, combining the best of Ayurveda and German herbal science. The company has obtained multiple international certifications to strengthen their credibility. The market is being driven by a growing shift towards natural products, as well as rise in chronic diseases and growing health awareness.

There is also a strong synergy between Jubilant and Greencure with respect to OTC portfolio which can be explored for R&D, online acceleration and offline distribution,” company said in a filing on Saturday.