Motilal Oswal: Aurobindo Pharma’s Natrol Divestment - Review
A person inspects a sample of pills. (Photographer: Antoine Antoniol/Bloomberg)

Motilal Oswal: Aurobindo Pharma’s Natrol Divestment - Review

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Motilal Oswal Report

Aurobindo Pharma Ltd. has announced the divestment of Natrol, a wholly owned unit of its U.S.-based subsidiary, for 550 million U.S. dollar (approximately Rs 40 billion) as an all-cash deal.

Considering Natrol’s FY20 sales/profit after tax at 157 million U.S. dollar /27 million U.S. dollar, the deal is attractive at valuation of 3.5 times enterprise value/sales and 20 times price/earning on FY20 basis.

The company is expected to use the funds to further reduce its debt and strengthen future product pipeline.

Click on the attachment to read the full report:

Motilal Oswal Aurobinod Pharma Company Update.pdf


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