Kilitch Drugs (India) will divest its entire shareholding in Ethiopian subsidiary, Kilitch Estro Biotech PLC (KEB), to HarmeeCare Pharmaceuticals, an Ethiopian state-owned enterprise, in a transaction valued at $14 million.
The transaction forms part of its broader strategy to optimise business portfolio, strengthen financial flexibility and accelerate investments in its pharmaceutical manufacturing operations in India. The divestment will enable capital reallocation towards higher-growth opportunities in India, debt repayment and expansion of core pharmaceutical business.
The company intends to utilise the net proceeds towards reducing existing borrowings, lowering finance costs and supporting the phased expansion of its new manufacturing facility in Pen, Maharashtra, Kilitch Drugs said on Friday (October 23, 2026). The company plans to manufacture liquid injectable vials, lyophilised (freeze-dried) injectable vials and ophthalmic eye drops at the facility and to develop and manufacture GLP-1 (Glucagon-Like Peptide-1) therapies.
To maintain its commercial presence in Ethiopia, Kilitch Drugs proposes to enter into a long-term supply and technical services agreement with HarmeeCare Pharmaceuticals.
The divestment is expected to be completed by January 31, 2027,
“The divestment of our Ethiopian subsidiary will enable us to unlock capital, strengthen our balance sheet and accelerate expansion plans in India,” said Bhavin Mehta, Whole-Time Director of Kilitch Drugs.
Published - October 24, 2026 10:54 am IST