Novartis India Hits Upper Circuit as Swiss Parent Exits in $159 Mn Stake Sale

Shares of Novartis India jumped 20% on Friday to hit the upper circuit on the bourses after the company announced that its Swiss parent had signed an agreement with ChrysCapital Group to divest its entire stake in the company.

Novartis AG will sell its entire 70.68% stake for about ₹1,446 crore ($159 million) to WaveRise Investments Limited, ChrysCapital Fund X and Two Infinity Partners.

Under the agreement, Novartis AG will sell 1,74,50,680 equity shares, representing a 70.68% stake in Novartis India Limited. WaveRise Investments will acquire a 56.45% stake at a price of ₹860.64 per share (offshore price). ChrysCapital Fund X will acquire a 10.32% stake, and Two Infinity Partners will acquire a 3.91% stake, both at ₹701.25 per share.

On Friday, shares of Novartis India were trading at ₹976 apiece before trading was halted due to the circuit breaker.

Following the execution of the SPA, the consortium of acquirers will also make a mandatory open offer to public shareholders under Securities and Exchange Board of India’s takeover regulations. As per disclosure requirements under SEBI’s Listing Obligations and Disclosure Requirements (LODR) Regulations, an agreement was signed on February 19, 2026, for the sale of shares of Novartis India Limited.

The open offer has been priced at ₹860.64 per share, in line with applicable SEBI SAST regulations, the company said. If shareholders fully subscribe to the offer, the total payout by the acquirers is expected to be around ₹552.5 crore.

Following the completion of the acquisition, the incoming owners have also proposed a change in the company’s name, subject to necessary regulatory and corporate clearances.

Following the open offer, WaveRise Investments Limited will hold a 72.78% equity stake in the company. Category-II AIF ChrysCapital Fund X will own 17.33%, while Two Infinity Partners will hold 6.57%.

This divestment comes after a strategic review initiated by Novartis AG in February 2024, with the deal expected to be completed by Q3 2026, subject to certain conditions.

Following the share transfer, Novartis AG aims to complete its shift in India into a pure-play innovative medicines company in line with its global strategy. The company will continue to operate in India through Novartis Healthcare Private Limited, which houses its commercial business, Hyderabad corporate centre and R&D teams conducting clinical trials across more than 300 sites, alongside a growing portfolio in cardio-renal-metabolic and oncology therapies.