HYDERABAD: In a restructuring exercise, Laurus Labs is demerging Unit-1, which is the API manufacturing portion of its contract development and manufacturing ( CDMO ) arm, Laurus Synthesis Pvt Ltd (LSPL), with another wholly owned subsidiary -- Sriam Labs Pvt Ltd , which specializes in manufacturing APIs and intermediaries.
The remaining business of LSPL will then be merged with Laurus Labs Ltd and LSPL will be dissolved without the process of winding up under the Companies Act, Laurus Labs said in a regulatory filing on Thursday.
As part of this rejig, Sriam Labs will issue 27 fully paid-up equity shares of Rs 10 each for every one share of Rs 10 each held by LSPL but there will be no cash consideration for merger of LSPL into Laurus Labs.
The restructuring will not alter the shareholding pattern of Laurus Labs, as no new shares will be issued for the amalgamation. This move is anticipated to bolster Laurus Labs' growth prospects and operational capabilities.
The company said the restructuring is expected to simplify the group structure, optimise resource utilisation, and strengthen the company's financial position. The transaction, involving related parties, is exempt from related party transaction provisions under the Companies Act, 2013, and SEBI regulations.
The appointed date for the scheme is set for April 1, 2026, pending necessary approvals from the National Company Law Tribunal and other authorities.
This strategic move, approved by the company’s board on August 21, 2025, aims to streamline operations and enhance financial flexibility.
The remaining business of LSPL will then be merged with Laurus Labs Ltd and LSPL will be dissolved without the process of winding up under the Companies Act, Laurus Labs said in a regulatory filing on Thursday.
As part of this rejig, Sriam Labs will issue 27 fully paid-up equity shares of Rs 10 each for every one share of Rs 10 each held by LSPL but there will be no cash consideration for merger of LSPL into Laurus Labs.
The restructuring will not alter the shareholding pattern of Laurus Labs, as no new shares will be issued for the amalgamation. This move is anticipated to bolster Laurus Labs' growth prospects and operational capabilities.
The company said the restructuring is expected to simplify the group structure, optimise resource utilisation, and strengthen the company's financial position. The transaction, involving related parties, is exempt from related party transaction provisions under the Companies Act, 2013, and SEBI regulations.
The appointed date for the scheme is set for April 1, 2026, pending necessary approvals from the National Company Law Tribunal and other authorities.
This strategic move, approved by the company’s board on August 21, 2025, aims to streamline operations and enhance financial flexibility.
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