Piramal Enterprises Relists on Stock Exchanges at 12% Premium Post-Merger with Piramal Finance

Piramal Enterprises, a prominent non-banking financial company (NBFC), completed its relisting on Indian stock exchanges on Friday, November 7, 2025. This event follows the successful merger of Piramal Enterprises with its wholly owned subsidiary, Piramal Finance. The merger scheme was approved by the National Company Law Tribunal (NCLT) in September 2025, and Piramal Enterprises subsequently fixed September 23, 2025, as the record date for the transaction.

The shares of Piramal Finance began trading on the National Stock Exchange (NSE) at ₹1,260 per share, which represents a substantial 12% premium compared to the discovered price of ₹1,124.20 per share. This relisting did not involve an Initial Public Offering (IPO).

Under the terms of the merger scheme, shareholders of Piramal Enterprises who were on the record date received equity shares of Piramal Finance in a 1:1 ratio. All debt securities previously issued by Piramal Enterprises have also been transferred to Piramal Finance.

Following the absorption of the parent company, Anand Piramal has assumed the role of Chairman of Piramal Finance, effective September 16, 2025. Jairam Sridharan, Managing Director and Chief Executive Officer of Piramal Finance, expressed optimism about the company's future, highlighting improved operating efficiencies, maturing businesses, and the optimization of technology and artificial intelligence as key drivers for the next phase of profitable growth. The company aims to achieve a 3 percent return on assets (RoA) target in the coming years.

Impact This successful relisting at a significant premium indicates robust investor confidence in Piramal Finance's strategic direction and future prospects post-merger. It is expected to positively influence investor sentiment towards the NBFC sector and could lead to a re-evaluation of the company's market valuation. The integration aims to streamline operations and enhance profitability. Impact Rating: 7/10

Difficult Terms: NBFC (Non-Banking Financial Company): A financial institution that provides banking-like services but does not hold a full banking license. They offer loans, credit facilities, and other financial services. NCLT (National Company Law Tribunal): A quasi-judicial body in India that handles corporate and bankruptcy-related matters. It approved the merger scheme for Piramal Enterprises and Piramal Finance. Record Date: A specific date set by a company to determine which shareholders are eligible to receive dividends, participate in rights issues, or receive shares in a merger or stock split. Shareholders on this date received new shares of Piramal Finance. RoA (Return on Assets): A profitability ratio that indicates how profitable a company is relative to its total assets. A higher RoA means the company is more efficient at generating profits from its assets.