Elder Pharma promoters up stake to 34%

The promoters of the Mumbai-based Elder Pharmaceuticals have scaled up stake in the company by 3 per cent to 34 per cent.

The Saxena family, the promoters, have purchased five lakh shares at Rs 197 from the market on Friday and Monday. Riding on the huge buying pressure, the stock has been going up and up for the last few trading sessions.

In July, Citicorp International Finance Corporation, a part of the Citigroup Global Investments, has scaled up its holding in the company to 13 per cent by acquiring an additional 5 per cent stake.

Citicorp had picked up a 7.32 per cent stake in the company through a preferential allotment early this year. Elder had issued 12,80,000 shares at Rs 182 each and 450,000 warrants with an option to convert into equity shares at Rs 200 a share anytime within 18 months from the allotment.

Citigroup is planning to appoint its representative on the 11-member board of Elder soon.

The Rs 400 crore Elder Pharmaceuticals, is learnt to have bagged an order worth Rs 75 crore from the Netherlands-based Evita Pharma for APIs.

The company has recently tied up with Blistex Inc of the US, is manufacturing and marketing Blistex lip care products in India. Now, the company in association with Blistex Inc has announced the Indian version of World's most popular lips as 'Blistex-India's Most Beautiful Lips'.

Elder Pharma, which is leading player in the therapeutic categories of women healthcare, dermatology, has recently forayed into the consumer market with the launch of a series of beauty care products by its consumer products division.

As part of this, the company has launched a fairness cream 'Fair One' in association with Shahnaz Husain.

The company is also marketing Tiger Balm in association with How Par of Singapore. The company is also expanding its marketing network in Sri Lanka, Pakistan, Bangladesh and Myanmar apart from the India and Nepal in the South East Asia.