Fermenta board approves sale of environmental solutions arm to subsidiary

Fermenta Biotech, India's leading manufacturer of premium-grade APIs, intermediates, and nutritional premixes for the global markets, announced that its Board of Directors has approved the sale of its environmental solutions business operations to a wholly owned subsidiary, Fermenta Environment Solutions Private Limited (FESPL) on a slump sale basis. This strategic business transfer, effective 1 October 2025, represents another important milestone in Fermenta's commitment to sustainable innovation and environmental stewardship and enhances operational focus both at parent and subsidiary level.

Following this transfer, the subsidiary will continue and expand the business of conceiving, designing, providing, and manufacturing for sale and distribution a wide range of environmental solutions. The subsidiary's comprehensive portfolio will include—but not be limited to—solid waste management, wastewater and water management, lake and pond bioremediation, fly ash handling, ground and soil remediation, oil sludge treatment, and air pollution management. Additionally, the entity will undertake the installation, operation, and maintenance of sewage treatment plants (STPs), water treatment plants (WTPs), and effluent treatment plants (ETPs), either independently or through strategic collaborations.

This strategic move integrates scientific capability with sustainable development, positioning FESPL to address one of the most pressing challenges of our time—environmental resilience. The initiative also aligns with Fermenta's vision to leverage its expertise and capabilities to create solutions that benefit both business and society.

Comment from Prashant Nagre - managing director, Fermenta, said, "The Board's approval for this slump sale transaction marks a significant step in our journey toward comprehensive sustainability leadership. By transferring our environmental solutions portfolio to a dedicated subsidiary, we are creating a focused entity that can accelerate growth and innovation in this critical sector. This structured approach will enable specialized management, enhanced operational efficiency, and targeted resource allocation at both parent and subsidiary levels."

"The transaction reflects Fermenta's commitment to applying our decades-honed capabilities to address critical environmental challenges while creating long-term value for all stakeholders. This strategic move perfectly complements our core business and reinforces our strategy of sustainable innovation that benefits both business and society."