Sequent Scientific Limited has announced a significant development in its ongoing composite scheme of amalgamation. The company has informed the stock exchanges that Viyash Life Sciences Private Limited has set November 1, 2025, as the Record Date for determining the shareholders of Geninn Life Sciences Private Limited who will be eligible for share allotment as part of the merger process.

Key Details of the Share Exchange

The share exchange ratio has been fixed at 47 equity shares of Viyash Life Sciences for every 1 equity share of Geninn Life Sciences. Both companies' shares are valued at Rs. 10.00 each and are fully paid up.

Composite Scheme of Amalgamation

This announcement is part of a larger composite scheme of amalgamation involving several entities, including:

• Sequent Scientific Limited
• Symed Labs Limited
• Vandana Life Sciences Private Limited
• Appcure Labs Private Limited
• Vindhya Pharma (India) Private Limited
• S.V. Labs Private Limited
• Vindhya Organics Private Limited
• Viyash Life Sciences Private Limited
• Geninn Life Sciences Private Limited
• Sequent Research Limited

Implications for Shareholders

The record date and share exchange ratio are crucial elements in the merger process, providing clarity to the shareholders of Geninn Life Sciences about their entitlement in the merged entity. This corporate action represents a significant step in the ongoing restructuring and consolidation within the Sequent Scientific group of companies.

Investors and stakeholders of Sequent Scientific should take note of this development as it may have implications for the company's structure and operations moving forward. However, it's important to note that the actual impact of this merger on Sequent Scientific's overall business and financial performance remains to be seen and will likely become clearer as the amalgamation process progresses.

SeQuent Scientific Limited (ISIN: INE807F01027), India's largest pure-play animal health company, has reported robust financial results for the second quarter, along with a significant corporate development.

Financial Highlights

SeQuent Scientific delivered a strong performance in Q2:

• Revenue reached INR 4,240.00 million, marking a 15% year-on-year growth
• EBITDA stood at INR 657.00 million, with a margin of 15.5%
• Gross margin improved by 270 basis points year-on-year, rising from 47% to 49.7%

Business Segment Performance

The formulations business, accounting for about 75% of sales, showed strong growth across all geographies:

• Europe: 14% year-on-year growth
• Emerging markets: 27% year-on-year growth
• India: 6% year-on-year growth

Merger Approval

The National Company Law Tribunal (NCLT) has approved the merger between SeQuent Scientific and the Viyash Group of companies. This merger is expected to create synergies in R&D and manufacturing, potentially transforming the company's growth trajectory.

Strategic Initiatives

SeQuent Scientific has undertaken several strategic initiatives:

1. Expansion into Mexico, establishing a front-end presence in this large animal health market
2. Launch of Tulaject (tulathromycin injection) in Brazil, with plans to expand to other Latin American markets
3. Continued growth in Turkey, maintaining a position among the top 5 players in the ruminant animal market
4. Commercialization of a new API partnership with a launch in the U.S.
5. Successful completion of a U.S. FDA audit for the analytical lab, SeQuent Research Limited

Management Commentary

Rajaram Narayanan, Managing Director and CEO of SeQuent Scientific, stated, "We are now firmly on the path of crossing 15% EBITDA and moving to high teens while also improving our profit after tax substantially."

Dr. Hari Babu, Whole-Time Director and CEO of Viyash Life Sciences, added, "The combined entity expects significant synergies in R&D and manufacturing, with management confident of sustaining 20%+ EBITDA margins."

Future Outlook

The company is focusing on:

1. Expanding its product pipeline, especially in companion animal health
2. Leveraging R&D capabilities to become a more science-driven animal health company
3. Capitalizing on tightening regulations in less regulated markets
4. Exploring inorganic growth opportunities, particularly in companion animal health

With a strong balance sheet and improving free cash flow, SeQuent Scientific is well-positioned to pursue these growth initiatives.

The merger with Viyash Group and the strong Q2 performance indicate that SeQuent Scientific is poised for significant growth in the animal health sector, with a particular focus on expanding its presence in the companion animal segment and leveraging its R&D capabilities to drive innovation and market expansion.