Drug firm Morepen Laboratories on Friday said its shareholders have approved to raise ₹433 crore through the allotment of shares.
The company's shareholders in an EGM on May 20 approved the issue and allotment of 58.50 million shares for cash to Switzerland-based Corinth Investment Holdings AG at ₹41.60 a share aggregating to ₹243.36 crore, Morepen Laboratories said in a regulatory filing.
The shareholders also approved the allotment of 50 million fully-convertible warrants to a promoter group company, Liquid Holdings, at ₹38 per warrant/share aggregating up to ₹190 crore for cash to be converted into equity within 18 months, within the limits prescribed in SEBI (SAST) regulations, it added.
“The investment by Corinth further bolsters our position as a market leader in Indian healthcare, it also endorses our approach in the self-diagnostic tools category along with the scale and potential of the Active Pharmaceutical Ingredients (API) market. It is a testing time for life sciences and pharma companies in these challenging times and are all geared to enhance our capacities and also expand our markets,” Morepen Labs and Managing Director Sushil Suri said.
The Corinth Group, a global private investment group, after investing in the drug firm is now part of its promoter group.