Parmax Pharma's new owners are taking over. They're paying ₹42.80 a share.
Dhiren and Sunil Shah, with a consortium of ten others, are paying ₹18.6 crore to take ~91% control of the struggling nano-cap, which saw revenues collapse 57% and losses widen.
— 3 earlier stories on Parmax Pharma Ltd. →What's new
- Consortium led by Dhiren and Sunil Shah launched an open offer to acquire up to 26% of Parmax Pharma at ₹42.80 a share.
- The bid follows a ₹35-per-share purchase of 11.52 lakh shares from current promoters and a preferential issue at ₹36.50.
- The combined deal value is ~₹18.6 crore, which exceeds the company's entire ₹18 crore market cap.
Why this matters
This is a textbook nano-cap takeover. A consortium is acquiring effective control for less than the company's market value, injecting new capital into a business that has shed more than half its revenue. For a ₹18 crore company, the transaction size is the news. It's a complete handover, not a minority stake.
What we're watching
- Whether the open offer gets the full 26% acceptance it's sized for.
- How the new management team plans to reverse the 57% revenue decline.
- The timeline for completing the share purchase and preferential issue.
The full read
Parmax Pharma is changing hands. A consortium led by Dhiren and Sunil Shah is spending ₹18.6 crore to take roughly 91% control of the ₹18 crore nano-cap. The deal is structured in three parts: a ₹35-per-share purchase of 11.52 lakh shares from the current promoters, a preferential issue at ₹36.50, and a public open offer for up to 26% at ₹42.80. The acquirers are paying a premium at each successive stage, signalling intent. The target is a business in deep trouble, with revenues down 57% and losses widening. For the incoming group, this is an inexpensive way to gain a listed shell and inject capital. The entire acquisition cost is less than the company's market value. What changes from here is whether the new owners can reverse the operating decline.
Questions answered
- Who is buying Parmax Pharma and how are they doing it?
- A consortium led by Dhiren Chandulal Shah and Sunil Chinubhai Shah, along with ten others acting in concert. They are using a three-part transaction: a direct purchase of shares from current promoters, a preferential issue, and a public open offer to acquire up to 26% more.
- What is the total cost of this takeover?
- The open offer alone is valued at ~₹10.04 crore. The total consideration across all transactions (open offer, promoter sale, and preferential issue) is ~₹18.6 crore, which is more than Parmax's entire market capitalisation of ₹18 crore.
- Why is a change of control happening at a company losing money?
- Parmax's revenue collapsed 57% and losses are widening. For an acquirer, this presents an opportunity to buy a listed entity at a low cost and inject new capital. The preferential issue is a direct cash infusion into the company alongside the control transaction.
- How does the open offer price compare to other prices in the deal?
- The open offer price of ₹42.80 is a 17% premium to the ₹36.50 per-share price of the preferential issue and a 22% premium to the ₹35 paid to buy shares from the existing promoters.
Story so far
All notes on PARMAX →- 9 Jun 2026 · 8:53 AM IST Parmax Pharma's new owners are taking over. They're paying ₹42.80 a share.
- 1d ago Parmax Pharma raises ₹19.28 cr, hands control to 14 new investors
- 5d ago Parmax Pharma turns to a preferential issue after a 57% revenue crash.
- 5d ago Parmax Pharma revenue halved, auditors flag MD's use of company funds