Natrol had annual sales of US$157 million (4.8% of consolidated sales) in FY20. Hence, this transaction values the business at 3.5x sales, a compelling deal by any standards. The company will utilise proceeds to reduce debt and other new strategic initiatives. We believe a significant portion of the company's current debt (| 4777 crore as of Q1FY21) is working capital based. Therefore, a major portion of cash generated through this deal is likely be utilised for strategic investments. The sale of this non-core segment is likely to improve focus on new and complex ventures such as biosimilars,...