Glenmark will hold 7.84% of GLS following the divestment. The transaction is subject to customary conditions precedent, including regulatory and shareholder approvals. As part of the transaction, Nirma will make a mandatory open offer to all public shareholders of GLS.

Glenn Saldanha, Glenmark’s chairman and managing director, said: "We are pleased to announce this strategic transaction with Nirma Limited, which marks a significant milestone in shaping an independent growth trajectory for GLS. This deal aligns with our strategic intent of moving up the value chain to become an innovative/brand led organization, with continuous focus on our core therapeutic areas of dermatology, respiratory and oncology. It also presents an opportunity for us to strengthen shareholder value through deleveraging and enhancing our overall return profile.”

“Today’s announcement marks the next step in the journey of the company, one that will accelerate growth and help create more value for our stakeholders in the long term. We will continue to operate as an independent API company under the new ownership of Nirma Limited. I see this as an opportunity to further strengthen our position in the API industry and continue the growth trajectory,” added Yasir Rawjee, managing director and CEO of GLS.

Glenmark Pharma said it will continue to focus on consistent growth in its key markets with a strong emphasis on return metrics with a positive net cash balance.