Astal Laboratories Limited has completed a significant preferential share allotment to non-promoter investors, strengthening its equity base through strategic allocation of 17.50 lakh shares on January 14, 2026.

Share Allotment Details

The company allotted shares to two non-promoter investors through different mechanisms:

Shareholding Pattern Changes

The allotment significantly altered the shareholding structure of both investors:

Before Acquisition

After Acquisition

Capital Structure Impact

The preferential allotment resulted in substantial changes to the company's equity capital:

Regulatory Compliance

The transaction was conducted in full compliance with SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. Vupparapalli Chandra Sekhar Reddy filed the required disclosure under Regulation 29(2) on behalf of both investors on January 15, 2026. The disclosure was submitted to BSE Limited, where the company's shares are listed under scrip code 512600.

Transaction Structure

The allotment involved two primary mechanisms - conversion of existing warrants into equity shares and preferential issue through share swap arrangements. The warrant conversions totaled 5.00 lakh shares (2.50 lakh each for both investors), while the share swap arrangement contributed 12.50 lakh additional shares to Vupparapalli Pavani's holdings. This strategic allocation demonstrates the company's approach to strengthening its equity base through targeted investor participation.

Astal Laboratories Limited has successfully completed the acquisition of Sriven Pharmachem India Private Limited through a strategic share allotment worth ₹277.17 crores. The pharmaceutical company allotted 3.04 crore equity shares on January 14, 2026, making Sriven Pharmachem a wholly owned subsidiary and significantly expanding its manufacturing capabilities in active pharmaceutical ingredients.

Strategic Acquisition Through Share Swap

The company's board approved the allotment of 3,04,25,632 equity shares to acquire 100% stake in Sriven Pharmachem India Private Limited. The acquisition was executed through a combination of share swap and cash consideration, with the majority handled through preferential allotment.

The acquisition includes a small cash component of ₹29.63 lakhs paid to Ms. Niharika Bansal for 32,555 equity shares, as she was disqualified from the preferential allotment due to regulatory compliance issues under SEBI ICDR Regulations.

Target Company Profile and Performance

Sriven Pharmachem India Private Limited, incorporated on March 5, 2015, specializes in developing and producing high-profile drug intermediates and specialty chemicals. The company operates in the pharmaceutical industry with a focus on manufacturing active pharmaceutical ingredients and intermediates.

The target company has an authorized share capital of ₹31.00 crores divided into 3.10 crore equity shares of ₹10 each, with a paid-up capital of ₹30.46 crores.

Strategic Benefits and Business Expansion

The acquisition aligns with Astal Laboratories' long-term vision of becoming a fully integrated pharmaceutical manufacturing company. The transaction will enable the company to expand its product offerings and strengthen its position in the pharmaceutical sector through enhanced manufacturing capabilities in APIs and specialty chemicals.

Regulatory Compliance and Approvals

The acquisition was executed following comprehensive regulatory approvals and compliance with SEBI regulations. The transaction involved related party elements, as Mr. Sudheer Karna Kankanala, Director of Astal Laboratories, holds shares in the target company.

The company must complete post-allotment compliance requirements, including submission of listing applications within twenty days as per SEBI regulations. This acquisition represents a significant milestone in Astal Laboratories' growth strategy and strengthens its pharmaceutical manufacturing capabilities.