Drug firm Sanofi India said its board has approved selling its nutraceuticals business to Universal Nutriscience for Rs 587 crore.
"The board of directors of Sanofi India... approved a transaction for the slump sale and transfer of the company's Nutraceuticals business, on a going concern basis to Universal Nutriscience for a consideration of Rs 587 crore including debt like obligations...," Sanofi India said in a regulatory filing.
The company said completion of the transaction is anticipated within the next 3 months, subject to fulfillment of conditions as set out in the business transfer agreement.
Sanofi's nutraceuticals business comprises 16 brands and 30 stock-keeping units (SKUs).
"These along with related business assets and liabilities including contracts, intellectual property rights, inventory, and all employees associated with this business will transition to Universal Nutriscience Private Limited," the company added.
Sanofi India said the decision to divest will help the company to invest and focus on its strategic growth pillars, while allowing the nutraceuticals business and the people associated with it, to significantly benefit in a company specialised in nutraceuticals and wellness.
The company said it undertook a thorough competitive auction process with a view to obtain the best possible transaction terms for the company and identify an organisation which will be a good fit for the nutraceuticals business.
