World’s largest private equity fund, Blackstone, is set to submit a non-binding bid to acquire the entire 33.47% promoter stake in Cipla.

The Hamied family, the promoters of Cipla, the third-largest pharmaceutical player by revenue, collectively hold a 33.47% stake in the company. The bid for the company could be submitted as early as next week.

This move will make the exit of the Hamied family, who founded the company in 1935.

The buy-out move will trigger an open offer for an additional 26% company stake. Upon full subscription, the US-based equity company will end up owning as much as 59.4% of Cipla.

Pharmaceutical major Cipla reported a 45% YoY growth in consolidated net profit for the June 2023 quarter to Rs 996 crore. The total operating revenue grew by nearly 18% to Rs 6,329 crore.

The EBITDA grew 31% to Rs 1,494 crore for the quarter ending on June 30.

At 3:30 pm, the share of Cipla closed at Rs 1,206.95 or 3.53% above its previous close on NSE.