Astal Laboratories To Acquire Sriven Pharmachem In ₹2.77 Billion Strategic Deal

Astal Laboratories Ltd is making a decisive move to strengthen its position in the pharmaceutical sector with a full acquisition of Sriven Pharmachem India Pvt Ltd. The deal, valued at ₹2.77 billion, is expected to bring strategic advantages in manufacturing, research, and product diversification.

Board meeting to finalize acquisition

Astal Laboratories has scheduled a board meeting on October 9, 2025, to deliberate on the acquisition. The agenda includes increasing authorized share capital and issuing equity shares or convertible warrants on a preferential basis. These steps are aimed at facilitating the financial structure required for the acquisition.

Key highlights of the transaction

- The acquisition cost has been set at ₹2.77 billion, reflecting the strategic value of Sriven Pharmachem’s operations.
- Astal Laboratories will acquire 100 percent of Sriven Pharmachem, enabling full integration of its manufacturing and R&D capabilities.
- Sriven Pharmachem, based in Hyderabad, specializes in Active Pharmaceutical Ingredients (APIs) and intermediates, making it a valuable addition to Astal’s portfolio.
- The company has initiated a trading window closure from October 1, 2025, until 48 hours after the announcement of Q2 FY2026 results, in line with corporate governance norms.
- The acquisition is expected to enhance operational efficiency, expand product offerings, and improve supply chain resilience.

Strategic rationale and future outlook

This acquisition aligns with Astal’s long-term strategy to scale its pharmaceutical manufacturing capabilities and enter new markets. By integrating Sriven’s infrastructure and expertise, Astal aims to boost its competitiveness and respond to growing demand in both domestic and international markets.

The move also reflects a broader trend in the pharmaceutical industry toward consolidation and vertical integration. With Sriven’s established presence in API production, Astal is poised to benefit from cost efficiencies and innovation-driven growth.

Sources: ScanX News, BSE India Corporate Filings, Sriven Pharmachem Official Website.