Integrated pharmaceuticals company Jubilant Organosys will henceforth be called Jubilant Life Sciences.
The company’s board on Thursday approved the restructuring of its businesses that was announced last January, separating the agricultural products division from pharmaceuticals in order to help the two units embark on their own growth paths.
It approved the amalgamation of subsidiary firm Speciality Molecules Ltd (SPL) and its exclusive contract manufacturer for adhesives, Pace Marketing Specialities Ltd (PSML) into the parent company.
The Agri and Performance Polymer (APP) division, which includes farm products and accounts for 11 per cent of revenues, has been named Jubilant Industries Ltd.
“This strategic move will enable us to pursue growth opportunities for both the businesses independently through two separate listed entities to create greater value for all our stakeholders,” said Shyam S. Bhartia, chairman & managing director and Hari S.Bhartia co-chairman & managing director of Jubilant Organosys.
Jubilant would approach the Allahabad High Court for approval, which would be followed by the listing of Jubilant Industries on the BSE.
The company expects approval by December and re-listing by January 2011.
It would issue one additional share of Jubilant Industries (of Rs 10 each) for every 20 shares in Jubilant Organosys of Re 1.