Unichem Labs receives Euro 19.48 million fine demand from EU Commission for competition law breach
The fine of Euro 19,487,009.05 is a substantial financial obligation. While the principal was provisioned, the interest of Euro 5,518,236.05 (approximately ₹49.66 crore) is a new liability that will impact the company's financials in FY 2025-26.
The company has received a demand notice for a significant fine of Euro 19,487,009.05 (approximately ₹175.76 crore) from the European Commission, with an interest liability of Euro 5,518,236.05 (approximately ₹49.66 crore) to be provided in FY 2025-26, indicating a substantial financial burden.
Unichem Laboratories Limited has received a demand notice from the European Commission, Brussels, Belgium, on 17th September 2025, for a fine of Euro 19,487,009.05 (approximately ₹175.76 crore) in the Perindopril drug matter. * This fine comprises a principal amount of Euro 13,968,773.00 (approximately ₹125.72 crore) and interest of Euro 5,518,236.05 (approximately ₹49.66 crore). * The company's wholly-owned subsidiary has already remitted Euro 2,791,262.76 (approximately ₹25.12 crore) in instalments, leaving a balance of Euro 16,695,746.29 (approximately ₹150.38 crore) now payable. * The matter pertains to allegations that the company and its subsidiary, Niche Generics Ltd, breached EU competition law by agreeing to settle a Perindopril patent dispute in 2005 with Servier Group. * While a provision for the principal amount of Euro 13,968,773.00 was already made, the interest liability of Euro 5,518,236.05 will be provided in the books of account for FY 2025-26. * Unichem Laboratories Limited is currently evaluating suitable legal options in consultation with its law firm.
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