Drugmaker Novartis India (NIL) has said it is not a party to and is not involved in any negotiations or discussions between its Swiss parent and Mumbai-based Alkem Labs.

The multinational was responding to reports that Alkem was in talks with Novartis AG to acquire the India entity. In fact, NIL stock price ended up over 7 percent on the BSE, at ₹1164.25, on Thursday.

“Novartis India Limited vide its communication dated 1 7th February 2024 informed BSE about a communication received from Novartis AG regarding a strategic review of its stake in Novartis India Ltd . The Board of Directors had decided to support Novartis AG as may be required,” the company told the BSE.

Additionally, it said, “Novartis India Ltd is unaware of any discussions or negotiations that Novartis AGs Investment Banker may be having with above-mentioned or other parties,” it said.

Earlier in the day, reports quoting source-based information said, non-binding bids had been submitted, for a transaction that they billed at ₹2,000 crore.

In February, Novartis made public its decision to review NIL, including the parent company’s 70.68 percent shareholding in the company. Novartis is in India through its listed entity and its wholly-owned subsidiary, Novartis Healthcare Private Ltd (NHPL), which is not under review, it had clarified then. Subsequently, Novartis’ Global CEO had indicated to a business channel that a sale could be on the cards.

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