Aurobindo Pharma Board Approves ₹800 Crore Share Buyback, Transfers Domestic Branded Generics to Subsidiary

Aurobindo Pharma Limited’s board on Thursday approved a share buyback plan worth ₹800 crore, signaling management’s confidence in the company’s growth prospects and commitment to enhancing shareholder value. Under the plan, the company will repurchase up to 54.23 lakh fully paidup equity shares at ₹1,475 per share in cash. The buyback, representing roughly 0.93% of the company’s paid-up equity, will be conducted via the tender offer route, with April 17, 2026, fixed as the record date for determining eligible shareholders.

In a simultaneous move, the board also approved the transfer of its domestic branded generic pharmaceutical business to its wholly owned subsidiary, Auropharm Limited, for a lump-sum consideration of ₹143.21 crore. The transaction, to be completed on a going-concern, slump-sale basis, is expected to finalize within 90–120 days, with economic benefits accruing to Auropharm from April 1, 2026. This strategic transfer aims to streamline domestic operations and accelerate growth in the Indian market.

Analysts said the buyback is likely to support the company’s share price and improve key financial metrics such as earnings per share, while the transfer of the domestic business could enhance operational focus and efficiency. Together, these moves reflect Aurobindo Pharma’s efforts to strengthen shareholder returns and optimize its corporate structure.