The National Company Law Tribunal (NCLT) has approved the demerger of Piramal Enterprises' (PEL) pharma business and the simplification of the company's corporate structure.

Following this order, Piramal Enterprises Ltd, a non-banking financial company (NBFC) and Piramal Pharma Ltd will be two distinct listed businesses.

“The approval from the Honourable NCLT on the demerger of our Pharma business and the simplification of the corporate structure is a significant milestone. We are on track to achieve the completion of the demerger and separate listing of Piramal Pharma by the third quarter of the current financial year. The demerger creates one of India’s large listed diversified NBFCs, with a loan book of nearly $9 Billion. It will have a significant presence across both retail and wholesale financing, leveraging technology at its core,” said Piramal Enterprises chairman Ajay Piramal.

"The pharma company will be a large listed entity in the pharmaceutical sector with revenues of nearly $1 Billion. It offers a portfolio of differentiated products and services through end-to-end manufacturing capabilities across 15 global facilities and a global distribution network of over 100 countries,” he added.