Ownership Transition and Corporate Restructuring
Novartis India completed a significant ownership change on July 29, 2026, with Novartis AG selling its 70.68% stake (17,450,680 shares) to a consortium comprising WaveRise Investments Limited, ChrysCapital Fund X, and Two Infinity Partners. The transaction, executed through a Share Purchase Agreement dated February 19, 2026, included an open offer that acquired 40 shares from public shareholders. Post-transition, WaveRise and ChrysCapital Fund X are classified as new promoters, while Novartis AG has been reclassified to public category. The company will change its name to Evonile Pharma Limited, subject to shareholder approval at the upcoming AGM.
Financial Performance FY 2025-26
The company reported revenue from operations of ₹3,543.3 million (0.5% decrease from previous year) and profit after tax of ₹931.8 million, representing a 7.6% year-over-year decline. Other income contributed ₹387.7 million primarily from interest income on bank deposits. The company maintained strong liquidity with bank balances of ₹6,152.0 million in fixed deposits and cash equivalents of ₹525.0 million. A final dividend of ₹25 per share was declared, totaling ₹617.3 million payout, though this is subject to shareholder approval at the AGM.
Board and Management Changes
Significant board restructuring occurred effective July 29, 2026, with new appointments including Dr. Vikas Gupta as Managing Director and CEO, Mr. Ramesh Ramadurai as Chairperson and Non-executive Independent Director, and several other independent and non-independent directors. Previous board members including Christopher Snook, Gira Sardesai, Sanker Parameswaran, Shilpa Joshi, and Falin Majmudar ceased their roles. The AGM on September 24, 2026, will seek approval for director appointments and remuneration, including a five-year term for Dr. Gupta with fixed CTC ranging from ₹65 million to ₹80 million.
Strategic Direction and Business Update
The company outlined strategic priorities focusing on five anchor therapy areas: pain management, wellness, women's health, neuroscience, and transplant immunology. Growth strategies include brand consolidation (bringing Voveran, Methergin, Macalvit, and Calcium Sandoz under full company control), portfolio expansion, disciplined acquisitions, and operational excellence with emphasis on tier 2 and tier 3 market expansion. The company plans to launch an Employee Stock Option Scheme for up to 1,667,000 shares (6.75% of paid-up capital).
Audit Matters and Contingencies
Auditors identified revenue recognition and DPCO litigation contingencies as key audit matters. Significant outstanding disputes include income tax matters totaling ₹3,054.5 million, sales tax matters of ₹295.2 million, and DPCO demands including ₹281.8 million for Voveran 50 GE Tablets and ₹134.4 million for Tegrital CR 200. The company has obtained stays from Delhi High Court and believes its positions are defendable based on legal advice.
ESG and Corporate Governance
Environmental performance showed Scope 2 emissions reduced to 12.3 metric tonnes of CO2 equivalent, with emission intensity of 0.00000000347 per rupee of turnover. CSR spending of ₹23.4 million focused on aspirational districts in Vizianagaram, Andhra Pradesh, benefiting 159 people through sustainable livelihood projects. The board composition includes various committees, and the company maintains adequate internal financial controls with whistleblower mechanisms available for community grievances.
AGM and Shareholder Information
The 78th Annual General Meeting is scheduled for September 24, 2026, through video conferencing, with 16 resolutions including adoption of financial statements, director appointments, ESOP scheme approval, memorandum and articles alteration, name change, and remuneration approvals. Remote e-voting will be available through NSDL from September 21-23, 2026, with cut-off date of September 17, 2026.