Novartis to Sell India Unit for $159 Million in Global Restructuring
Novartis has agreed to sell its entire 70.68% stake in Novartis India to a private equity consortium for about $159 million, marking its exit from the Indian listed entity as part of a broader global restructuring strategy. The Mumbai-based company primarily sells medicines in India and does not operate manufacturing facilities in the country. The move follows a strategic review initiated two years ago as Novartis reshaped its global business priorities.
The acquiring consortium includes WaveRise Investments, ChrysCapital, and Two Infinity Partners, which will purchase the stake through a share purchase agreement. The group has also announced a mandatory open offer to acquire an additional 26% of shares at ₹860.64 per share, representing a premium over the previous closing price. This transaction could significantly change the ownership structure of the Indian arm.
Shares of Novartis India, listed in Mumbai, surged nearly 20% to ₹996.5 following the announcement, reflecting strong investor optimism. The parent company, headquartered in Switzerland, has been focusing investments in key markets such as the United States, including a $23 billion expansion plan. The exit highlights Novartis’ shift toward streamlining operations and prioritising markets aligned with its long-term growth strategy.
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