Mankind Pharma divests stake in Mahananda Spa to Chalet Hotels at Rs 530 crore Enterprise Value

The amount raised will be used to part-pay debt, said Mankind Pharma. "The proceeds of monetization of non-core assets to be utilized to retire part of its debt."

Trade

• Watchlist
• Portfolio
• Message
• Set Alert

 

 

Choose Stock Exchange: BSE LIVE NSE LIVE

26 Aug, 2025 12:21

Volume

Todays L/H

More

×

The board of Mankind Pharma, India's fourth-largest drugmaker by domestic revenue, has approved the sale of its entire stake in subsidiary Mahananda Spa to Chalet Hotels at an Enterprise value of Rs 530 crore, a company filing said on February 10.

The amount raised will be used to part-pay debt, said Mankind Pharma. "The proceeds of monetization of non-core assets to be utilized to retire part of its debt."

The Share Purchase Agreement will be executed soon, said Mankind Pharma, and the transaction will be completed by February 28, 2025. Mahananda Spa had a turnover of Rs 74.33 crore in FY24, and a networth of Rs 401.35 crore.

Read More: Mankind Pharma Standalone December 2024 results

Hotel chain Chalet Hotels was founded in 1986 and is part of the K Raheja Group.

In October 2024, Mankind Pharma had completed the acquisition of Bharat Serums and Vaccines (BSV) for a consideration of Rs 13,768 crore. This move positions Mankind as a market leader in the women's health and fertility drug market, and enabled access to high entry barrier products in critical care segment.

Mankind Pharma delivered a strong Q2FY25, with profit surpassing expectations, fueled by robust demand for its chronic illness medications targeting diabetes and cardiovascular conditions.

Shares of Mankind Pharma are lower by 13% so far this year, and up close to 13% over last one year. Macquarie had recently downgraded Mankind's shares as Underperform, stating that the domestic formulations business remains weak on account of slower growth in acute therapies, which makes up for two-third of the company’s revenue. The acquisition of Bharat Serum and Vaccine (BSV) negatively impacts bottom-line performance, said Macquarie.