Novartis Shifts Focus to Innovation in India After Divesting Local Unit

Novartis has restructured its operations in India to focus exclusively on innovative medicines, following the February 2024 sale of its 71% stake in listed subsidiary Novartis India for Rs 1,446 crore to a private equity consortium led by ChrysCapital. The Swiss pharmaceutical giant retained its unlisted arm, Novartis Healthcare, to drive its innovative portfolio in cardiovascular, oncology, and immunology segments.

The move marks a strategic shift as India increasingly contributes to early-stage drug discovery, with Novartis initiating Phase I clinical trials in Ahmedabad—breaking the norm where Indian operations typically support only Phase II and III trials. The India Development Hub in Hyderabad and Mumbai is now integral to global programs, having contributed to key therapies including Coartem Baby, Inclisiran (Sybrava), and Pluvicto.

India's role spans clinical operations, pharmaceutical development, regulatory submissions, and safety oversight for global molecule rollouts. Novartis India MD Amitabh Dube said the company plans to launch one new molecule in 2024 and two in 2025, maintaining its workforce of over 9,000 employees.

The company will continue expanding its clinical research footprint across core therapeutic areas, with the next review of its India strategy expected in the coming fiscal year.