Pharmaceutical firm Eris Lifesciences Ltd (ELL) on Friday (September 29) said it has entered into a term loan agreement with HDFC Bank to access a rupee term loan facility amounting to Rs 212 crore.

Share Market Live

NSE

This financial arrangement is tied to the dermatology brand acquisition from Glenmark by Eris Oaknet Healthcare Private Ltd, a wholly-owned subsidiary of Eris Lifesciences, which was assigned to the holding company on July 3, 2023, at their book value.

The primary purpose of this agreement is to enable Eris Lifesciences to fulfill its financial obligation to Eris Oaknet Healthcare Private Ltd (EOHPL) for the assignment of these brands.

Consequently, the funds received from HDFC Bank through this loan will be utilised by ELL to make payments to EOHPL for the assignment of the dermatology brands.

Also Read: TCS ends hybrid working policy, asks employees to join office starting October 1

It's noteworthy that EOHPL, in turn, will utilise the consideration received from ELL to fully repay the loans it had previously availed from HDFC Bank for the acquisition of these brands.

The size of this agreement stands at Rs 212 crore, and it involves a pari-passu charge alongside Citi Bank N.A. on the trademarks acquired from Eris Oaknet Healthcare Private Ltd.

Shares of Eris Lifesciences Ltd ended at Rs 877.05, up by Rs 27.05, or 3.18 percent on the BSE.