Synopsis:
Cohance Lifesciences Ltd’s share in focus after its promoter Jusmiral Holdings Ltd sold 8.9 percent stake in the company worth Rs. 3093.8 crore.
A prominent global CDMO (Contract Development and Manufacturing Organization) is in the spotlight today after its promoter sold 8.9 percent stake in the company worth Rs. 3093.8 crore.
With a market capitalization of Rs. 34,786.83 crore,Cohance Lifesciences Ltd is trading at Rs. 910.15, down by 0.35 percent from its previous close of Rs. 912.70 per equity share. The shares touched an intraday low of Rs. 905 in today’s trading session.
What’s the News?
Promoter Jusmiral Holdings divested 3.41 crore shares, representing an 8.9 percent stake, in the Hyderabad-based contract development and manufacturing firm at Rs. 906 per share, raising Rs. 3,093.8 crore.
Meanwhile, HDFC Mutual Fund purchased 37.17 lakh shares (0.97 percent stake) for Rs. 336.8 crore at Rs. 906 per share, while SBI Mutual Fund acquired 26.83 lakh shares (0.7 percent stake) for Rs. 243 crore at Rs. 905.71 per share.
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About the company
Cohance Lifesciences Limited, earlier known as Suven Pharmaceuticals Limited, is a Hyderabad-headquartered company established in 1989 and currently a subsidiary of Berhyanda Limited.
The company operates across India, the US, Europe, and other global markets, offering contract research, development, and manufacturing solutions for NCE-based intermediates, APIs, specialty chemicals, and finished formulations.
Its diverse portfolio spans small molecule APIs, advanced intermediates, antibody-drug conjugates, oligonucleotide building blocks, pellets, finished dosage forms, and agrochemicals, serving pharmaceutical, biotech, and chemical industries worldwide.
It is trading at a price-to-earnings (P/E) ratio of 98.8x, which is higher than the industry average of 33.4x. A return on equity (ROE) of about 12.7 percent and a return on capital employed (ROCE) of about 14.9 percent demonstrate the company’s financial position.
In Q1FY26, the company reported revenue of Rs. 549 crore, up 12 percent YoY from Rs. 488 crore but down 35 percent QoQ from Rs. 840 crore. Net profit stood at Rs. 46 crore, declining 39 percent YoY from Rs. 75 crore and 61 percent QoQ from Rs. 117 crore, indicating revenue growth on a yearly basis but sharp sequential and annual profit pressure.
Written by Akshay Sanghavi
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