Novartis AG, a Swiss drugmaker, has announced a strategic review of Novartis India Limited, a public company listed on the Bombay Stock Exchange. This review will include an assessment of the 70.68 per cent shareholding of Novartis AG in the company. The multinational presently has Vasant (Vas) Narasimhan as its Chief Executive Officer. Novartis India Limited is separate from Novartis Healthcare Private Limited, the wholly owned subsidiary of the Novartis group in India, and the strategic review will not impact Novartis Healthcare Private Limited.
The company stated that there can be no assurance that the strategic review of Novartis India Limited will be completed in 2024 or that the outcome would result in the implementation of any transaction. However, it also emphasized that it remains “deeply committed” to India with a footprint that has expanded significantly in recent years. Today, Novartis employs more than 8,100 associates in India.
Novartis shares surged 13.55 per cent on the BSE to settle at ₹1,035.45 on Friday, following the announcement of the strategic review.
Novartis Healthcare Private Limited includes the Novartis Corporate Center in Hyderabad, the commercial arm of Novartis in India, and research and development teams, which currently conduct clinical trials at more than 300 trial sites in the country. The strategic review will not impact Novartis Healthcare Private Limited, it added.
The company’s announcement of this strategic review brings into focus the potential changes and developments that could occur in the coming years within the Novartis group and its operations in India.
