The Board of Directors of Piramal Enterprises Limited (BSE:500302) agreed to spin-off an unknown stake in Piramal Pharmaceutical Development Services Private Limited on October 7, 2021. Pursuant to the terms of the composite scheme of arrangement, Piramal Enterprises Limited shall demerge its pharmaceuticals business into Piramal Pharmaceutical Development Services Private Limited (Piramal Pharma Limited) and then in consideration of the demerger, Piramal Pharma Limited shall issue 4 (four) fully paid-up equity shares of Piramal Pharma Limited to the shareholders of Piramal Enterprises Limited for every 1 (one) fully paid-up equity share in Piramal Enterprises Limited held by them, in accordance with the Share Entitlement Ratio. Two operating subsidiaries (wholly-owned by Piramal Pharma Limited) will also be amalgamated with Piramal Pharma Limited, to further simplify the Pharma corporate structure. PHL Fininvest Private Limited, the non-banking financial company (NBFC) will be amalgamated with Piramal Enterprises Limited to create a large listed NBFC. The merged Housing Finance company, post the DHFL acquisition, will remain a wholly-owned subsidiary of Piramal Enterprises Limited. Post the demerger, Piramal Pharma Limited will become one of the large pharma companies listed on NSE and BSE. Piramal Pharma announces appointment of Peter Stevenson, Nathalie Leitch and Sridhar Gorthi to the board. The full board of Piramal Pharma includes: Nandini Piramal, Peter DeYoung, S. Ramadorai, Peter Stevenson, Nathalie Leitch, Vivek Valsaraj, Neeraj Bharadwaj, Jairaj Purandare and Sridhar Gorthi. As per disclosure of July 7, 2022, Piramal Pharma announced the addition of Peter Stevenson, Nathalie Leitch and Sridhar Gorthi to the board of directors. These new appointments, which come ahead of the planned de-merger of PPL from Piramal Enterprises (PEL), will assist in maintaining high governance for the new listed corporate entity.

The composite scheme of arrangement is subject to the approval of the shareholders and creditors of the companies, the Reserve Bank of India (RBI), Securities and Exchange Board of India (SEBI), National Stock Exchange of India Ltd. (NSE), Bombay Stock Exchange Ltd (BSE) Limited, Hon'ble National Company Law Tribunal (NCLT) and other regulatory authorities, as applicable. The transaction has been approved by the Board of Directors of Piramal Enterprises Limited, in a meeting held on October 7, 2021. As of May 12, 2022, Hon'ble National Company Law Tribunal, Mumbai Bench directed Piramal Enterprises Limited to convene meetings of the Equity Shareholders, Secured Creditors and Unsecured Creditors of Piramal Enterprises Limited on July 5, 2022. As of July 5, 2022, Piramal Enterprises has received shareholders' approval for the proposed demerger. In July 2022, PEL also received the RBI approval for the NBFC license for PEL. As of August 12, 2022, the transaction is approved by The Hon'ble National Company Law Tribunal. September 1, 2022 has been fixed as the Demerger Record Date. As of February 11, 2022, transaction is expected to complete by December 2022.