During the financial year (FY18), PEL had initiated the process of merging Piramal Finance and Piramal Capital into Piramal Housing Finance with an intent of streamlining the Financial Services business, a step in the direction of de-merging financial services and pharma businesses in the future.
After obtaining all the necessary regulatory approvals, the merger got effective on May 23, 2018. The merger will result in significant synergies over the coming years, PEL said in an annual report.
According to newspaper report, the billionaire businessman Ajay Piramal’s Piramal Enterprises (PEL) has finalised a plan to demerge its financial services and pharmaceutical businesses and list them on stock exchanges to unlock value in the two fast-growing sectors.
“After the demerger exercise, which is expected to be completed in the current financial year itself, PEL will become a holding company operating smaller businesses of the group, apart from controlling a sizable chunk in the two proposed listed entities,” added report, quoting sources.
The BSE said the exchange has sought clarification from Piramal Enterprises with reference to news appeared on : www.business-standard.com dated August 02, 2018 quoting "Piramal set to demerge pharma, finance arms, and list them on stock exchange". The reply is awaited.
At 12:12 PM; the stock was trading 7% higher at Rs 2,998, as compared to 0.5% decline in the S&P BSE Sensex. The trading volumes on the counter jumped more than four-fold with a combined 1.35 million equity shares changed hands on the BSE and NSE so far.