Cabinet approves Rs 9,589 crore FDI in Suven Pharmaceuticals by Cyprus-based firm

Cabinet approves Rs 9,589 cr FDI in Suven Pharmaceuticals by Cyprus-based firm

The government on Wednesday approved a foreign investment of up to Rs 9,589 crore in Suven Pharmaceuticals by Cyprus-based Berhyanda Ltd.

The approval is for acquisition of up to 76.1 per cent shares of Suven Pharmaceuticals by Berhyanda by way of transfer of shares from existing promoter shareholders and public shareholders through mandatory open offer, an official release said after the meeting of Cabinet Committee on Economic Affairs.

The aggregate foreign investment may increase to up to 90.1 per cent in Suven, the release said.

The proposal has been evaluated by Sebi, RBI, CCI and other relevant agencies.

The release further said the approval has been granted after examination of the proposal by departments concerned, RBI and Sebi and is subject to the fulfilment of all rules and regulations as applicable in this regard.

Total foreign direct investment (FDI) in the pharmaceutical sector has been Rs 43,713 crore during last five years (from 2018-19 to 2022-23). The sector has witnessed significant growth in FDI of 58 per cent in the last financial year.