Sanofi India on Wednesday said its board has approved demerger of consumer health business into its proposed wholly owned subsidiary Sanofi Consumer Healthcare India (SCHIL), subject to approval of Sanofi India’s shareholders and regulators.

Upon completion of the proposed demerger, Sanofi will continue to own 60.4% stake in both entities and Sanofi India shareholders will receive 1:1 SCHIL equity share of ₹10 each, for each equity share owned.

Subject to approvals, SCHIL will be listed on the BSE and the National Stock Exchange.

SCHIL is expected to be fully operational by the second half of 2024, the company said.

The concerned employees who will transition to SCHIL, will have continuity of service and same terms on the demerger becoming effective. The revenues of the consumer healthcare business stood at around ₹730 crore, representing 28% of Sanofi India’s revenue in the financial year ended 31 December 2022.