Piramal Enterprises announced Wednesday it has signed a definitive agreement to sell its clinical research division known as Piramal Clinical Research (PCR), formerly known as Wellquest, to Indoco Remedies (Indoco) on a going concern basis for cash.

Hyderabad based PCR specializes in conducting bioanalytical and bioequivalence studies for generic products and holds approvals from various regulatory agencies including US FDA, UK MHRA, etc.

PCR was not considered strategic in nature and formed a relatively small portion of the
PEL's consolidated business. The transaction does not have a material impact on PEL's balance sheet or P&L.

Fixed assets of this division along with the employees will be transferred to Indoco on a slump sale basis as a part of the transaction. The sale transaction is expected to be completed upon receipt of purchase consideration by Apr. 6, 2015, the company said.

The acquirer, Indoco, does not belong to PEL's promotor group or group companies and is not a related party. Indoco, listed on NSE & BSE, is engaged in manufacturing and global marketing of formulations and APIs.