Novartis Exits Indian Listed Unit With $159 Million Stake Sale
Novartis AG sells its entire 70.68% stake in Novartis India Ltd. for $159 million to a consortium of investors, concluding a two-year strategic review while maintaining operations through its wholly-owned Indian subsidiary.
Novartis AG has agreed to sell its entire 70.68% stake in Novartis India Ltd. to a consortium of WaveRise Investments, ChrysCapital Fund X and Two Infinity Partners for 14.46 billion rupees ($159 million). The transaction marks the culmination of a strategic review announced in February 2024.
The buyers have also launched an open offer to acquire up to 26% of Novartis India at 860.84 rupees a share, valuing the offer at about 5.52 billion rupees. The offer price represents a 3.6% premium to the company's closing price on Thursday. The deal triggered a mandatory open offer under takeover regulations that mandate such an exercise on purchase of a shareholding of over 25%, and Novartis will cease control.
Shares of Novartis India jumped around 16% to ₹966.50 at 11.30 a.m. on February 20, 2026, from a Thursday close of ₹830.45, after rising about 20%.
Novartis said the two-year strategic review led to the divestment and a shift to a pure-play innovative medicines strategy. The review covered the India-listed unit, which markets prescription drugs, generic and over-the-counter medicines.
The company clarified that the process would not cover its wholly-owned unit Novartis Healthcare Pvt., which houses the corporate center in Hyderabad, manages commercial operations, and oversees research and development teams conducting clinical trials at more than 300 sites nationwide. Novartis will continue operations in India through this wholly owned subsidiary.
Before the 2024 strategic review, Novartis India had already entered distribution pacts with domestic partners, including an agreement with Dr. Reddy's Laboratories Ltd. to market brands such as Voveran, Calcium ranges and Methergine in the local market.