Cipla patriarch Y K Hamied increases stake in company to over 20 per cent

Acquires additional five per cent stake from his wife Farida Hamied

In a move aimed at realignment of family shareholding, Cipla patriarch YK Hamied has increased his stake in the homegrown drug major to over 20 per cent by acquiring additional five per cent.

Hamied (80), who is the Non-Executive Chairman of the company, has acquired 5.22 per cent additional stake from his wife Farida Hamied, thereby taking his total holding in the drug firm to 20.76 per cent from earlier stake of 15.54 per cent, Cipla said in a regulatory filing.

The sale of 4,19,14,937 shares, amounting to 5.22 per cent stake, took place on January 29.

The transfer of shares is being done by way of gift, the filing said, adding that the purpose was “Re-alignment of family shareholding”.

The development comes at a time when the Mumbai-based drug maker is in the midst of a transition in leadership.

Earlier this year, in order to simplify decision making and improve operational excellence, the company had announced creation of a six-member Management Council that will be the apex executive leadership team for the company.

Headed by Subhanu Saxena, Managing Director and Global Chief Executive Officer, the council includes Umang Vohra, Samina Vaziralli, Geena Malhotra (Global Head-Integrated Product Development), Ranjana Pathak (Global Head-Quality) and Prabir Jha (Global-Chief People Officer).

Last year, Cipla promoters had said that they were yet to finalise their proposed family pact in ‘due course’, wherein the entire Hamied family will vote as a single unit.

Yusuf Hamied had sought an ‘informal guidance’ from Sebi on whether the proposed voting agreement among his family members would trigger an open offer.

Sebi had opined that the agreement would qualify for exemption from open offer requirement under takeover norms.

Cipla, which has presence in over 150 countries, sells more than 2,000 products across various therapeutic categories.

The company has 34 manufacturing facilities that make active pharmaceutical ingredients (APIs) and formulations.