Novartis Shares Hit Record High as Swiss Parent Exits India Unit in $159 Million Deal

Shares of Novartis' Indian unit surged about 20% on Friday after the Swiss drugmaker agreed to exit the business in a deal valued at 14.46 billion rupees ($159 million), marking its latest step in streamlining global operations. Mumbai-listed Novartis shares jumped 20% to hit the upper circuit limit at 996.5 rupees.

A consortium led by ChrysCapital affiliates, including WaveRise Investments and Two null Partners, will acquire 70.68% of Novartis India from Novartis AG under a share purchase agreement. The buyers will pay up to 14.46 billion rupees ($159 million) for the stake, with WaveRise purchasing the bulk at 860.64 rupees per share and ChrysCapital-linked entities acquiring smaller portions at about 701.25 rupees per share.

Following the transaction, the acquirers will launch a mandatory open offer to buy an additional 26% of shares from public investors at 860.64 rupees apiece, potentially raising their combined holding to about 96.7% if fully subscribed. Completion of the sale will transfer control of the listed Indian company to the ChrysCapital-led group, while Novartis will cease to be a promoter and exit ownership entirely.

The transaction remains subject to regulatory clearances and other conditions.

Meanwhile, Novartis AG Sponsored ADR (NVS) reached $162.73, up $1.55 or 0.96%, on track for a new all-time closing high based on available data back to Dec. 24, 1996. The stock traded as high as $163.17, marking a new all-time intraday high. The shares were up nine of the past 10 days and currently up eight consecutive days, rising 8.59% over this period.

Over the past month, Novartis stock increased by 15.64%, and in the past year, by 55.30%. The stock is up 9.45% month-to-date, 18.03% year-to-date, and up 54.35% from 52 weeks ago on Feb. 14, 2025, when it closed at $105.43.

Novartis has a P/E ratio of 22.81, compared to the aggregate P/E ratio of 126.45 in the Pharmaceuticals industry.