Gland Pharma Ltd has approved the acquisition of 100% equity in Gland Pharma USA Inc. (Gland US), a wholly-owned step-down subsidiary, from Gland Pharma International Pte. Ltd., a wholly-owned subsidiary, for $5.01 lakh.
Upon completion of the transaction, Gland US will become a direct wholly-owned subsidiary of Gland Pharma. The company expects to complete the acquisition by October 31, 2026.
Move to streamline corporate structure
The transaction has received prior approval from the Audit Committee and the Board of Directors.
Since the acquisition is between the company and its wholly-owned subsidiary, it is exempt from the approval requirements prescribed under the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.
No material business impact
Gland Pharma’s management has proposed the restructuring to remove multiple layers and streamline the company’s corporate structure by making Gland US a direct subsidiary.
The company said the transaction will have no material impact on its business or operations. Other than the entities involved in the transaction, the promoter, promoter group and group companies have no interest in the deal.
Gland US handles pharma distribution
Gland US is principally engaged in the marketing and distribution of pharmaceutical products.
The restructuring will simplify the ownership structure of the US subsidiary while retaining it within Gland Pharma’s wholly-owned corporate framework.