SMS Pharmaceuticals Limited (SMS Pharma) has announced an investment in its subsidiary, SMS Peptides Private Limited, through a rights issue. The subsidiary has been allotted 39,90,000 equity shares of ₹10 each, amounting to a total investment of ₹3,99,00,000 by SMS Pharma. Following this investment, SMS Pharma's shareholding in SMS Peptides has increased from 99.98% to 99.99%. The acquisition is considered a related party transaction as SMS Peptides is a subsidiary of SMS Pharma, but it has been conducted at arm's length. SMS Peptides operates in the pharmaceutical industry and was incorporated in November 2024. The funds from this rights issue will be used by the subsidiary to procure machinery and equipment for its R&D activities. The company has not yet commenced revenue operations and is currently in the implementation stage. The shares were acquired at par, with each share costing ₹10.