PPFAS Mutual Fund, through its various investment schemes, has acquired a significant 7.27% stake in Zydus Wellness Limited. The fund purchased 46,27,111 equity shares of the consumer wellness company through open market transactions executed on June 17, 2025. This strategic investment was disclosed to the National Stock Exchange of India Ltd. and BSE Limited on June 19, 2025, in compliance with Regulation 29(1) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011.
| Particulars | Details |
|---|---|
| Acquirer | PPFAS Mutual Fund (through its Schemes) |
| Target Company | Zydus Wellness Limited |
| Shares Acquired (Number) | 46,27,111 |
| Stake Acquired (% of total voting capital) | 7.27% |
| Stake Acquired (% of total diluted voting capital) | 7.27% |
| Mode of Acquisition | Open Market |
| Date of Acquisition | June 17, 2025 |
| Date of Disclosure | June 19, 2025 |
| Acquirer part of Promoter Group | No |
| Total Equity Share Capital of Zydus Wellness Ltd. | ₹63,63,21,440 (6,36,32,144 shares at face value of ₹10 per share) |
Details of the Acquisition
PPFAS Mutual Fund's acquisition of 46,27,111 shares in Zydus Wellness Limited has positioned it as a substantial shareholder in the company. The disclosure form indicates that this transaction resulted in PPFAS Mutual Fund's holding reaching 7.27% of Zydus Wellness's total and diluted share/voting capital. Prior to this specific acquisition triggering the disclosure, the fund's holding in the specified categories (shares carrying voting rights, encumbrances, etc.) was below the reportable threshold or nil, as per the "Before the acquisition under consideration" section of the submitted form.
The acquisition was made through open market purchases, meaning the shares were bought on the stock exchanges where Zydus Wellness Limited is listed. The fund house confirmed that it does not belong to the Promoter or Promoter group of Zydus Wellness Limited.
Shareholding and Capital Structure Impact
Following this transaction, PPFAS Mutual Fund now holds 46,27,111 shares, constituting 7.27% of Zydus Wellness Limited. The total equity share capital of Zydus Wellness Limited remains unchanged at ₹63,63,21,440, divided into 6,36,32,144 equity shares with a face value of ₹10 each. This is because the shares were acquired from the open market and did not involve a new issuance of shares by the company. The total diluted share/voting capital of Zydus Wellness Limited also stands at the same figure post-acquisition.
Regulatory Compliance
The disclosure was filed by PPFAS Asset Management Private Limited, the investment manager for PPFAS Mutual Fund, in accordance with Regulation 29(1) of the Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. These regulations mandate timely disclosures by entities when their shareholding in a listed company crosses certain thresholds, ensuring transparency in the market. The acquisition by PPFAS Mutual Fund, resulting in a 7.27% stake, falls squarely under these regulatory requirements.
The communication was signed by Ms. Priya Hariani, Chief Compliance Officer & Company Secretary of PPFAS Asset Management Private Limited, and addressed to both the National Stock Exchange of India Ltd. (Listing Department, email: takeover@nse.co.in) and BSE Limited (Corporate Service Department, email: corp.relations@bseindia.com). A copy was also marked to The Company Secretary, Zydus Wellness Limited, at their listed address: Radha Krina Provition Store, Santacruz, Mumbai, Golibar, Naka, Mumbai, Maharashtra 400055 (Email: nandish.joshi@zyduswellness.com).
About the Entities
PPFAS Mutual Fund is managed by PPFAS Asset Management Private Limited (CIN: U65100MH2011PTC220623). The fund is known for its distinct investment philosophy, often focusing on long-term value creation and maintaining concentrated portfolios. This investment in Zydus Wellness aligns with its strategy of identifying and investing in businesses with strong fundamentals.Zydus Wellness Limited is a prominent player in the Indian consumer wellness sector, with a diverse portfolio of brands. The company's shares are actively traded on major Indian stock exchanges.
Market Perspective
Acquisitions of significant stakes by institutional investors like PPFAS Mutual Fund are generally perceived by the market as a vote of confidence in the target company's long-term prospects and management. Such investments can lead to increased investor interest and potentially influence the stock's performance. While the immediate impact on Zydus Wellness's stock price is subject to market dynamics, this development highlights the ongoing strategic portfolio adjustments by major fund houses in the Indian equity landscape. Investors and market analysts will likely watch for any further changes in PPFAS Mutual Fund's holding in Zydus Wellness as an indicator of their evolving view on the company.
