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Journalism of Courage
Piramal Healthcare,which is sitting on a huge cash of nearly 19,000 crore after selling its two businesses,today said it is looking at various options to utilise the cash.
The company said it is looking to grow its healthcare business which consists of contract research and manufacturing (CRAM),Over-the-counter (OTC) and critical care segments through acquisitions as well as normal expansion.
“We would like to do a combination of both organic and inorgnic… actually that have been our model across the globe,” Piramal Group chairman Ajay Piramal said in an interview to CNBC TV18.
Piramal Healthcare is set to get USD 3.72 billion (about Rs 18,000 crore) from US-pharma major Abbott for selling its Healthcare Solutions business in May this year and the company is looking at various options to invest this money.
Last month it had sold its diagnostics business to Super Religare Laboratories Ltd (SRL) for Rs 600 crore.
Speaking about investing in healthcare segment,he said that the decision will depend on the inorganic opportunities available in the segment.
“..it will depend on the inorganic opportunities thatwould be available in health sector…obviously that will get first priority,that is the sector that we understand the best,we can make sound decision in this space,” he said.
Piramal further said that they were still to decide regarding foraying into the insurance sector.
“We haven’t yet decided yet on insurance…we are ourselves debating upon it whether it makes strategic sense or not..its one of the several other sectors we are looking at,” Piramal said.
Speaking about merging Piramal Life Sciences with the parent company,he said that it could happen in the future.
“That is a possibility that the boards of the two companies have to look at. But it could be a real possibility and if we do it,we will keep the interests of all the shareholders in mind and only then do it,” Piramal said.
He said the company is also looking at foraying into the education sector. “Whether we will look at it as a profitable venture is again one of those areas that we are studying,” Piramal said.
