Alembic's real estate arm gets listed

VADODARA: The real estate arm of city-based Alembic Limited has got listed while its pharmaceutical arm is expected to get listed after the third week of May. Brokerage firm - Angel Broking - said this on Monday.
It was in June last year that Alembic Limited, country's oldest pharmaceutical company, had announced demerger of its core pharmaceutical business into a 100 per cent subsidiary company called Alembic Pharma Limited (APL).
Under the scheme, pharma business comprising the domestic formulation, international generic and active pharmaceuticals ingredients (API) businesses along with the manufacturing facility at Baddi, Panelav and Karakhadi will be transferred to APL.
Alembic Limited will retain its Vadodara manufacturing facility including the loss making Penicillin G business along with the power infrastructure used for internal consumption and 115 acres of land assets at Vadodara including 45 acres currently used for the Pen-G facility.
Under the arrangement, shareholders of Alembic would receive one equity share of APL in the ratio of 1:1.
The brokerage firm on a conservative basis has valued the real estate arm at Rs 33 per share while APL is valued at Rs 71 per share.
Company officials however declined to comment on this valuation.
"The demerger process is complete and the shares are trading ex-scheme from Monday," Alembic's CFO R K Baheti told TOI, adding that the company will now make allotments to all the shareholders of Alembic Limited.