Mangalam Drugs and Organics Limited has announced a merger by absorption of its wholly owned subsidiary, Mangalam Laboratories Private Limited, and Shri JB Pharma Private Limited into itself.

The merger aims to consolidate business activities, enhance operational efficiencies through economies of scale, improve financial leverage, and reduce managerial overlaps and administrative costs.

Shareholders of Shri JB Pharma will receive 265 equity shares of Mangalam Drugs for every 1 share held, while shares of Mangalam Laboratories will be cancelled since it is wholly owned.

Meetings of Mangalam Drugs' equity shareholders and unsecured creditors will be convened to approve the scheme.