This small-cap pharma stock engaged in manufacturing and marketing pharmaceutical products, including formulations, active pharmaceutical ingredients (APIs), and contract development and manufacturing services (CDMO), crashed 7 percent after 90 lakh shares or a 5.78 percent stake change hands in a block deal.
Stock Price Movement:
With a market capitalization of Rs. 24,968.29 crores, the share of J B Chemicals and Pharmaceuticals Limited has reached an intraday low of Rs. 1576.65 per equity share, down nearly around 7.44 percent from its previous day’s close price of Rs. 1703.40. Since then, the stock has retreated and is currently trading at Rs. 1603.85 per equity share.
What Happened:
On March 26, 2027, CNBC-TV18 reported that Tau Investment Holdings Pte (promoter) is likely planning to sell a 10.2 percent stake in the company through a block deal. The offer price for the shares has been set at Rs 1,625 per share. The total value of the deal is estimated to be Rs 2,576 crore. After the deal, there will be a 90-day lock-in period during which the shares cannot be sold further.
On March 27, 90 lakh shares, or 5.78 percent of JB Chemicals and Pharmaceuticals, changed hands in a block deal. The shares were sold at Rs 1,625 per share, causing the stock price to fall by 7.4 percent. It’s believed that KKR & Co. sold this 5.78 percent stake in the company through the deal.
Segment analysis in Q3 FY25:
In Q3 FY25, the domestic formulations business saw a 22 percent year-on-year growth, generating Rs. 566 crores, up from Rs. 462 crores. The international business also grew by 4 percent, with revenue reaching Rs. 397 crores, compared to Rs. 383 crores in the previous year.
In Q3 FY25, the company achieved total revenue of 566 crore. Domestic formulations generated 254 crore, while international formulations contributed 118 crore. The CDMO and APIs segments accounted for 25 crore and 118 crore, respectively. This diverse revenue mix highlights the company’s balanced growth strategy.
Future Outlook:
The company plans to focus on profitable growth, with a strong order book in its CDMO business expected to drive growth in Q4. It anticipates double-digit growth in international business for Q4 and is confident in sustaining growth through a solid pipeline of upcoming product launches.
Recent quarter results:
J B Chemicals and Pharmaceuticals Limited’s revenue has increased from Rs. 845 crore in Q3 FY24 to Rs. 963 crore in Q3 FY25, which has grown by 13.96 percent. The net profit has also grown by 20.90 percent from Rs. 134 crore in Q3 FY24 to Rs. 162 crore in Q3 FY25.
Written By – Nikhil Naik
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