Suven creates value through demerger
Written in March 2020. There is newer research on Suven Life Sciences: Novel Drug Discovery Company from India (August 2025).
The pharmaceutical component of the company which was carve-out in January got listed today , This is another demerger which was value accretive Pre Demerger Mkt cap was less than INR 3000 crore now separate companies have combined market cap ~INR 5000 crore
You can read a previous analysis of the company here
As far as scorecard is concerned , we would be removing both components (companies) from score card. The Pharmaceutical component at today’s trading price My rational
Life science component though close to Mr. Jasti’s heart is pure play speculative bet and tough to put a valuation figure Pharmaceuticals component is something the management may get rid off and currently at ~INR 4500 crore mcap is richly valued
This is a record of the author's thinking in March 2020, kept as written. It is not a recommendation to buy or sell, and the author may hold the securities discussed. See the disclosures.
Tankrich research on Suven Life Sciences
8 posts from 2014 to 2025, oldest first.
- Suven Life Sciences - The Embedded Triggers
- Suven Life - Embedded Triggers Triggered
- Forecasting and Reality - Review of Suven Life sciences
- Suven Life Sciences - Building multiple pillars of growth
- Suven Life sciences - Demerger to create Value?
- Suven creates value through demerger (this post)
- Suven - A New Beginning
- Novel Drug Discovery Company from India