Strides Pharma and Board of Arco Lab Approve Demerger of Life Sciences Business

Boards of Strides Pharma Science Ltd and subsidiary Arco Lab sanctioned demerger of Life Sciences and Digital Innovation Capabilities of Arco Lab into a new wholly-owned subsidiary (NewCo) today. The restructuring seeks to heighten focus on cutting-edge tech-driven solutions in life sciences manufacturing. NewCo will be a separate entity within Strides with no cost implication for the parent. The demerger has received regulatory no-objections from BSE and NSE, with procedural processes such as scheme drafting and valuations remaining. Arco Lab, which Strides acquired in 2018, already has a 50% stake in IoT solutions company Neviton. The demerger is part of Strides' strategy to release value through niche verticals.

 

Sources: NSE Filing, Strides Directors' Report, BSE Disclosures