Piramal Enterprises demerger latest news: Piramal Enterprises shares on will trade ex-date on Tuesday, August 30, ahead of the demerger. Piramal Enterprises' demerger record date is September 1. Zee Business Managing Editor Anil Singhvi said that investing in the shares of the company could be a good investment on a long-term basis post-demerger. 

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Piramal Enterprises Ltd (PEL), in its board meeting, had approved the demerger of its pharma business Piramal Pharma Ltd (PPL) via a composite scheme of the arrangement, the company had said in a filing. 

According to Piramal Enterprises, the company will issue 4 equity shares of Rs 10 each of Piramal Pharma for every 1 equity share of Rs 2 each to shareholders of Piramal Enterprises Limited.  

Post demerger, the promoters will have 44 per cent holdings in Piramal Ent and around 35 per cent in Piramal Pharma, while global investment firm Carlyle will hold 20 per cent in Piramal Pharma. Similarly, around 56 and 45 per cent of holding will be with shareholders in Piramal Ent and Piramal Pharma, respectively.   

Piramal said the proposed demerger will facilitate the pursuit of scale with more focused management and flexibility as well as liquidity for shareholders (following the listing of the shares of PPL pursuant to the Scheme) and will also insulate and de-risk both the businesses from each other and allow potential investors and stakeholders the option of being associated with the business of their choice. 

Piramal Enterprises will have financial services business, including retail and wholesale lending, while Piramal Pharma, which will be relisted on exchanges after the demerger, would have pharma, and CDMO business, according to Zee Business research analyst. 

All the derivative contracts of the stock will expire on Monday and new ones will be issued from Tuesday, the research analyst said, adding that the pharma entity will be listed in the next 3-4 quarters of the ongoing fiscal year. 

On the book value of 1.3/1.4 times, Piramal Enterprises' share price comes to Rs 1415 per share with respect to FY24e and Piramal Pharma's share price comes to Rs 915 per share on 17 times EV/EBITDA on an average after factoring 20 per cent holding discount, Zee Business analyst Nupur Jainkunia said.

The total share price value comes to Rs 2330 per share, which shows around an 18-19 per cent upside from current market price, according to research analyst. The stock of Piramal Ent on Monday closed nearly 2 per cent lower to Rs 1940 per share levels on the exchanges.