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Sun Pharmaceutical Industries LimitedRegistered Office: SPARC, Tandalja, Vadodara – 390 020, India.

Tel: 0265-6615500/600/700 Fax: 0265-2354897Corporate Office: Sun House, Plot No. 201 B/1, Western Express Highway,

Goregaon-East, Mumbai - 400 063, India. Tel: 022-43244324 Fax: 022-43244343CIN : L24230GJ1993PLC019050

Website: www.sunpharma.com Email: secretarial@sunpharma.com

NOTICE OF ANNUAL GENERAL MEETING

NOTICE is hereby given that the Twenty-Fifth Annual General Meeting of the Members of SUN PHARMACEUTICAL INDUSTRIES LIMITED will be held on Tuesday, September 26, 2017, at 10:45 a.m. at Sir Sayajirao Nagargruh, Akota, Vadodara - 390 020, Gujarat to transact the following business:

ORDINARY BUSINESS:1. Toreceive,considerandadopttheauditedfinancial

statements(includingauditedconsolidatedfinancialstatements)oftheCompanyforthefinancialyearendedMarch 31, 2017 and the reports of the Board of Directors and Auditors thereon.

2. ToconsiderdeclarationofdividendonEquityShares.*

3. To appoint a Director in place of Mr. Sailesh T. Desai (DIN: 00005443),whoretiresbyrotationandbeingeligible,offershimself for re-appointment.

4. To appoint a Director in place of Mr. Israel Makov (DIN: 05299764),whoretiresbyrotationandbeingeligible,offershimself for re-appointment.

5. To consider and appoint Statutory Auditors of the Company andtoauthorizetheBoardofDirectorstofixtheirremunerationandinthisregardtoconsiderandifthoughtfittopassthefollowingresolutionasanOrdinary Resolution:

“RESOLVED THAT pursuanttotheprovisionsofSection139,142 and other applicable provisions, if any, of the Companies Act, 2013 read with the Companies (Audit and Auditors) Rules,2014(includinganystatutorymodification(s)orre-enactment(s)thereof,forthetimebeinginforce),SRBC&CoLLP,CharteredAccountants(Firm’sRegistrationNo.324982E/ E300003) be and are hereby appointed as the Statutory AuditorsoftheCompanyforatermof5(Five)consecutiveyearstoholdofficefromtheconclusionofthis25thAnnualGeneralMeetinguntiltheconclusionofthe30thAnnualGeneralMeetingoftheCompany,atsuchremuneration(exclusive of applicable taxes and reimbursement of out of pocketexpenses)asshallbefixedbytheBoardofDirectorsoftheCompanyinconsultationwiththem.”

SPECIAL BUSINESS:6. To consider and, if thought fit, to pass the following

resolution as an Ordinary Resolution: “RESOLVED THAT pursuanttotheprovisionsofSection148

and other applicable provisions, if any, of the Companies Act, 2013 read with the Companies (Audit and Auditors) Rules,2014(includinganystatutorymodification(s)orre-enactment(s)thereof,forthetimebeinginforce)theCompanyherebyratifiestheremunerationassetoutintheExplanatoryStatementannexedtothisNoticepayabletoM/s.Kailash

Sankhlecha&Associates,CostAccountants,appointedasCostAuditors to conduct the audit of cost records maintained by theCompanyforthefinancialyear2017-18;

RESOLVED FURTHER THAT the Board of Directors of theCompanyoranyCommitteethereofbeandisherebyauthorized to do all such acts, deeds and things, to execute all suchdocuments,instrumentsandwritingsasmayberequiredtogiveeffecttothisresolution.”

7. To consider and, if thought fit, to pass the following resolution as an Ordinary Resolution:

“RESOLVED THATpursuanttotheprovisionsofSection152,161 and other applicable provisions, if any, of the Companies Act, 2013 (‘the Act’) read with the Companies (Appointment and QualificationofDirectors)Rules,2014(includinganystatutorymodification(s)orre-enactment(s)thereof,forthetimebeinginforce)Mr.KalyanasundaramSubramanian(DIN:00179072),whowasappointedasanAdditionalDirectorbytheBoardofDirectorsoftheCompanyandwhoholdsofficeuptothedateofthisAnnualGeneralMeetingandinrespectofwhomtheCompanyhasreceivedanoticeinwritingunderSection160oftheActfromamemberproposinghiscandidaturefortheofficeof Director of the Company, be and is hereby appointed as a DirectoroftheCompany,liabletoretirebyrotation.”

8. To consider and, if thought fit, to pass the following resolution as an Ordinary Resolution:

“RESOLVED THAT in accordance with the provisions of Sections196,203andotherapplicableprovisions,ifany,of the Companies Act, 2013 (‘the Act’) and the Companies (AppointmentandRemunerationofManagerialPersonnel)Rules,2014(includinganystatutorymodificationorre-enactment(s)thereofforthetimebeinginforce)readwithScheduleVtotheAct,relevantprovisionsoftheArticlesofAssociationoftheCompanyandsubjecttosuchsanction(s)asmaybenecessaryunderlaw,Mr.KalyanasundaramSubramanian (DIN: 00179072), be and is hereby appointed as theWhole-timeDirectoroftheCompanyforaperiodoftwoyearseffectivefromhisinitialdateofappointmenti.e.February14,2017toFebruary13,2019,withoutanyremuneration,onsuchtermsandconditionsasstatedbelowandassetoutinthedraftAgreement,whichdraftAgreementisherebyspecificallysanctionedwithlibertytotheBoardofDirectorstoalter,varyandmodifythetermsandconditionsofthesaidappointmentand/ordraftAgreement,insuchmannerasmaybeagreedtobetweentheBoardofDirectorsandMr.KalyanasundaramSubramanian within and in accordance with the provisions of the Act or any amendment thereto and if necessary, as may be prescribed by the Central Government and agreed to between the Board of Directors and as may be acceptable to Mr. KalyanasundaramSubramanian;

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The main terms of appointment of Mr.KalyanasundaramSubramanian(“Mr.Kal”)asaWhole-timeDirectorasrecommendedbyNominationandRemunerationCommitteeand approved by the Board of Directors are as under:

1. Subject to the supervision and control of the Board of Directors and subject to the provisions of the Companies Act,2013,theWhole-timeDirectorwillcarryoutsuchdutiesandexercisesuchpowersasmaybeentrustedtohim by the Board of Directors and the Managing Director. He will report to Mr. Dilip S. Shanghvi, Managing Director, of the Company. He is further authorised to do allsuchacts,deeds,thingsandmatterasmayberequiredtodo,astheWhole-timeDirector.TheAppointeeshallperformsuchdutiesandexercisesuchpowersasareadditionallyentrustedtohimbytheBoard.

2. Remuneration: NoremunerationshallbepayabletoMr.KalforhisappointmentasWhole-timeDirectorof the Company, His Appointment would be at Nilremuneration,however,hewillbeentitledforreimbursement of expenses incurred while discharging hisdutiesastheDirectoroftheCompany.

3. Other Terms and Conditions: The appointment of Mr. Kal as the Whole-time Director of the Company would be subject to the provisions of Section 152 (6) of the Companies Act, 2013, i.e. Mr. Kal would be liable to retire by rotation.

TheappointmentasWhole-timeDirectorwillbeterminableasperthe terms of agreement to be executed between the Company andMr.KaloruponMr.KalceasingtobeaDirectoroftheCompany.

RESOLVED FURTHER THAT the Board of Directors of the Company be and is hereby authorised to take such steps as theymaydeemfit,expedientordesirabletogiveeffecttothisResolution.”

9. To consider and, if thought fit, to pass the following resolution as a Special Resolution:

“RESOLVED THAT in accordance with the provisions of Sections196,197,198,203andotherapplicableprovisions,if any, of the Companies Act, 2013 (‘the Act’) and the Companies (AppointmentandRemunerationofManagerialPersonnel) Rules, 2014 (includinganystatutorymodification(s)orre-enactment(s)thereofforthetimebeinginforce)readwithScheduleVtotheAct,relevantprovisionsofArticlesofAssociationoftheCompanyandsubjecttosuchsanction(s)as may be necessary under law, Mr. Dilip S. Shanghvi (DIN: 00005588), be and is hereby re-appointed as the Managing DirectoroftheCompanyforafurtherperiodof5(five)yearsfromtheexpiryofhispresenttermofofficei.e.witheffectfrom April 1, 2018 to March 31, 2023, on such terms and conditions(includingtheremunerationtobepaidtohim)asstatedbelowandassetoutinthedraftAgreement,whichdraftAgreementisherebyspecificallysanctionedwithliberty to the Board of Directors to alter, vary and modify the termsandconditionsofthesaidappointmentand/ordraftAgreement, in such manner as may be agreed to between the Board of Directors and Mr. Dilip S. Shanghvi within and in

accordance with Act or such other applicable provisions or any amendment thereto and, if necessary, as may be prescribed by the Central Government and agreed to between the Board of DirectorsandasmaybeacceptabletoMr.DilipS.Shanghvi;

“RESOLVED FURTHER THATfurthertotheresolutionspassedatthe20thAnnualGeneralMeetingoftheCompanyheldonNovember8,2012,22ndAnnualGeneralMeetingheld on September 27, 2014 and 24th Annual General MeetingoftheCompanyheldonSeptember17,2016forremunerationpayabletoMr.DilipS.Shanghvi,ManagingDirector (DIN:00005588), and pursuant to the provisions ofSections197,198andotherapplicableprovisions,ifany,of the Companies Act, 2013 (‘the Act’) read with Schedule VtotheAct(includinganystatutorymodification(s)orre-enactment(s)thereofforthetimebeinginforce)andsubjecttotheapprovaloftheCentralGovernment,asmayberequired,andsuchotherpermissions,sanction(s)asmaybenecessaryunder law, the consent of the Members of the Company, be andisherebyaccordedforremunerationtobepaidtoMr.Dilip S. Shanghvi, Managing Director of the Company for a period of 3(three) years from the expiry of his present term of officei.e.witheffectfromApril1,2018toMarch31,2021,includingtheremunerationtobepaidtohimintheeventoflossorinadequacyofprofitsinanyfinancialyearduringthe aforesaid period, as stated below and as set out in the abovementioneddraftAgreementwhichisherebyspecificallysanctionedwiththelibertytotheBoardofDirectorstoalter,varyandmodifythetermsandconditionsoftheremuneration,in such manner as may be agreed to between the Board of Directors and Mr. Dilip S. Shanghvi within and in accordance with the limits prescribed in Schedule V to the Act or any amendment thereto and if necessary, as may be prescribed by the Central Government and agreed to between the Board of Directors andasmaybeacceptabletoMr.DilipS.Shanghvi;

a. Salary(includingbonusandperquisites)upto ` 8,10,00,000/- (Rupees Eight Crore Ten Lakhs Only) per annum.

Perquisites:Hewillbeentitledtofurnished/non-furnishedaccommodationorhouserentallowance,gas, electricity, medical reimbursement, leave travel concession for self and family, club fees, personal accident insurance, company maintained car, telephone andsuchotherperquisitesinaccordancewiththeCompany’srules,themonetaryvalueofsuchperquisitesto be determined in accordance with the Income-Tax Rules, 1962 being restricted to ` 75,00,000/- (Rupees Seventy Five Lakhs only) per annum

b. Commission:Subjecttoavailabilityofprofitandattherateofnotmorethan1%ofthenetprofitfortheyear,theBoard of Directors will determine the commission payable withintheoverallceilinglaiddownundersections197and 198 of the Companies Act, 2013 and Schedule V to theCompaniesAct,2013asmaybeapplicablefromtimetotime.HeshallnotbeentitledtoanysittingfeesasispayabletootherNon-ExecutiveDirectors.

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c. Company’scontributiontoprovidentfundandsuperannuationfundorannuityfund,gratuitypaymentas per Company’s rules and encashment of leave at the end of his tenure, though payable, shall not be included inthecomputationofceilingonremunerationandperquisitesasaforesaid.

d. MinimumRemuneration:Intheeventoflossorinadequacyofprofitsinanyfinancialyear,Mr.DilipS.Shanghvishallbeentitledtoreceiveatotalremunerationincludingperquisites,etc.uptothelimitasapprovedbythemembershereinabove,asminimumremuneration,subjecttoreceiptofsuchapprovalsasmayberequired, if any.

e. Othertermsandconditions:Subject to the control and supervision of the Board of Directors and subject to the provisions of the Act, Mr. Dilip S. Shanghvi shall have thegeneralconductandmanagementoftheaffairsoftheCompanyandheshallbeentitledtoexerciseallsuchpowers and to do all such acts and things the Company is authorised to exercise and all such powers, acts or things whicharedirectedorrequiredbytheActoranyotherLaworbytheArticlesofAssociationoftheCompanyexcept such powers/acts/things which can be exercised ordonebytheCompanyinGeneralMeetingorbytheBoardofDirectorsattheirMeetingonly.Mr.DilipS.ShanghvitoperformsuchdutiesandexercisesuchpowersasareadditionallyentrustedtohimbytheBoardand/or the Chairman. He is further authorised to do all such acts,deeds,thingsandmattersashemayberequiredorpermittedtodo,asaManagingDirector.

RESOLVED FURTHER THAT in the event of any statutory amendments,modificationsorrelaxationbytheCentralGovernment to Schedule V to the Companies Act, 2013, the Board of Directors be and is hereby authorised to vary or increase theremuneration(includingtheminimumremuneration),i.e.thesalary,perquisites,allowances,etc.withinsuchprescribedlimitorceilingandtheaforesaiddraftAgreementbetweentheCompanyandMr.DilipS.Shanghvibesuitablyamendedtogiveeffecttosuchmodification,relaxationorvariation,subjecttosuchapprovalsasmayberequiredunderlaw;

RESOLVED FURTHER THAT the Board of Directors of the Company be and is hereby authorised to take such steps as theymaydeemfit,expedientordesirabletogiveeffecttothisResolution.”

10. To consider and, if thought fit, to pass the following resolution as an Ordinary Resolution:

“RESOLVED THATpursuanttotheprovisionsofSection188 of the Companies Act, 2013 (‘the Act’) read with Rule 15oftheCompanies(MeetingsofBoardanditsPowers)Rules, 2014 and other applicable provisions, if any, of the ActandtheprovisionsofRegulation23oftheSecuritiesandExchangeBoardofIndia(ListingObligationsandDisclosureRequirements)Regulations,2015(‘ListingRegulations’)andotherapplicableprovisionsoftheListingRegulations,ifany

(includinganystatutorymodification(s)orre-enactment(s)toanyoftheforegoing,forthetimebeinginforce),andsubjecttosuchotherapprovals,consents,permissionsandsanctionsofotherauthoritiesasmaybenecessary,approvaloftheshareholders be and is hereby accorded to the Company to enter/continuetoenterintotransactionsofsalesand/orpurchaseofproductsorothertransactionsastheBoardofDirectorsoftheCompanymaydeemfitandproper,fromtimetotimewithAdityaMedisalesLimitedhavingCIN:U24230GJ1990PLC014535,(hereinafterreferredtoas“AML”),which in the near future will become a related party of the Companyintermsofsection2(76)oftheActandregulation2(zb)oftheListingRegulations,onsuchtermsandconditionsas may be mutually agreed to between the Company and AML, subjecttoeachtransactionwithAMLbeingenteredonanarm’slengthbasisirrespectiveofwhetherthesameisintheordinarycourseofbusinessornot;

RESOLVED FURTHER THAT the Board of Directors of the Company or any other person(s) authorised by them, be and are hereby authorised to execute, deliver and perform such agreements, contracts, deeds and other documents and deal withanymatters,takenecessarystepsinthematterastheymayintheirabsolutediscretiondeemnecessaryorexpedientand to do or cause to be done all such acts, deeds and things,settleanyqueries,difficulties,doubtsthatmayarisewithregardtoanytransaction(s)withAML,andmakesuchchangestothetermsandconditionsasmaybeconsiderednecessary, expedient or desirable and execute such addendum agreements,documentsandwritingsandtomakesuchfilingsasmaybenecessaryordesirable,inordertogiveeffecttothisResolution,inthebestinterestoftheCompany.”

By order of the Board of DirectorsFor Sun Pharmaceutical Industries Ltd.

Place: Mumbai Sunil R. AjmeraDate: May 26, 2017 Company Secretary

Registered Office:SPARC, TandaljaVadodara - 390 020.CIN: L24230GJ1993PLC019050

Website: www.sunpharma.com

*Theactualequitydividendtobedeclaredbytheshareholdersatthe25thAnnualGeneralMeetingwillbeforonlyequitysharesotherthantheequitysharesinrespectofwhichtheequityshareholder(s) has/have waived/forgone his/their right to receive thedividendforthefinancialyearendedMarch31,2017inaccordance with the Rules framed by the Board as per Note No.14 hereinafterappearing.

NOTES:1. TherelativeExplanatoryStatement,pursuanttoSection

102(1)oftheCompaniesAct,2013relatingtotheSpecialBusinesstobetransactedatthe25thAnnualGeneralMeetingoftheCompany(the“Meeting”or“AGM”)underItemNos.6to10andforresolutionrelatingtoAppointmentofAuditors

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underItemNo.5ofthisNotice,isannexedhereto.TherelevantdetailsasrequiredunderRegulation36oftheSEBI(ListingObligationsandDisclosureRequirements)Regulations,2015 and Clause1.2.5 of Secretarial Standard on General MeetingsissuedbytheInstituteofCompanySecretariesofIndia (SS-2), in respect of the persons seeking appointment / re-appointmentasDirectorand/orrelatingtoremunerationof Directors is given under the heading “PROFILE OF DIRECTORS”formingpartofthisNotice.

2. A MEMBER ENTITLED TO ATTEND AND VOTE AT THE MEETING IS ENTITLED TO APPOINT A PROXY TO ATTEND AND VOTE INSTEAD OF HIMSELF/HERSELF AND A PROXY NEED NOT BE A MEMBER.

3. The Proxy form duly completed must reach the Registered OfficeoftheCompanynotlaterthanforty-eighthoursbeforethetimeappointedforholdingtheMeeting.

4. PursuanttotheprovisionsofSection105oftheCompaniesAct, 2013 read with the Companies (Management and Administration)Rules,2014apersoncanactasaproxyonbehalfofnotmorethanfiftymembersandholdinginaggregate not more than ten percent of the total Share Capital of the Company. Members holding more than ten percent of the total Share Capital of the Company may appoint a single person as proxy, who shall not act as a proxy for any other Member.Proxiessubmittedonbehalfoflimitedcompanies,societies,etc.,mustbesupportedbyanappropriateresolution/ authority, as applicable.

5. Incaseofjointholdersattendingthemeeting,thememberwhosenameappearsasthefirstholderintheorderofnamesasperRegisterofMemberswillbeentitledtovote.

6. Corporate members intending to send their authorized representativestoattendandvoteontheirbehalfattheMeetingarerequestedtosendtotheCompanyacertifiedtruecopyoftheresolutionoftheBoardofDirectorsorothergoverning body of the body corporate authorizing their representative(s)toattendalongwithspecimensignatureofauthorizedrepresentative(s).

7. Members/proxies/AuthorisedRepresentativesshouldbringtheirattendanceslipsdulyfilledinforattendingtheMeeting.

8. TheProxiesshouldcarrytheiridentityproofi.e.aPanCard/Aadhaar Card / Passport / Driving License / Voter ID Card or suchotherproof(s)toprovetheiridentity.

9. The Register of Members and Share Transfer Books of the Company will be closed from Wednesday, September 20, 2017 to Tuesday, September 26, 2017 (both days inclusive) for the purpose of the 25th AGM and for the payment of Dividend.

10. TheNoticeofthis25thAnnualGeneralMeeting(AGM)along with the Annual Report 2016-17 is being sent by electronic mode to those Members whose e-mail addresses are registered with the Company / Depositories. Physical copiesoftheNoticeofAGMalongwithAnnualReportarebeingsent,bythepermittedmode,tothosememberswhoseemail addresses are not registered and the members who

havespecificallyrequestedforthephysicalcopyinadditiontoe-mail.AcopyoftheNoticeoftheMeetingalongwiththeAnnual Report 2016-17 is also available for download on the website of the Company www.sunpharma.com. To support the‘GreenInitiative’,Memberswhohavenotregisteredtheire-mailaddressesarerequestedtoregisterthesamewithourRegistrar&ShareTransferAgent,LinkIntimeIndiaPrivateLimited / Depositories.

11. Relevant documents / agreements referred to in the accompanyingNoticeandtheExplanatoryStatementareopenforinspectionbythemembersattheRegisteredOfficeoftheCompanyandcopiesthereofattheCorporateOfficeofthe Company on all working days, except Saturdays, between 11:00.a.m.and1:00.p.m.uptothedateoftheMeetingandatthevenueoftheMeetingduringMeetinghours.

12. The Company provides the facility of ECS to all shareholders, holding shares in electronic and physical forms, subject to availabilityofsuchfacilityattherespectivelocationofsuchshareholders. The Company is also providing the facility of NationalElectronicClearingService(NECS)introducedbyReserve Bank of India, to all shareholders holding shares in electronic and physical forms with the data available/provided by shareholders with 15 digit bank account number for ECS, whichoffersallIndiacoverageandenablethesponsorbankerstouploadthedatafilesmoreefficientlyandeffectively.

13. TheBoardofDirectorsatitsMeetingheldonMay26,2017,recommended a Dividend of ` 3.50/- (Rupees Three and paise fiftyonly)perEquityShareof` 1/- each of the Company for the year ended March 31, 2017 and the same if declared at theMeetingwillbepaidonorbeforeFriday,September29,2017totheCompany’sEquityShareholderswhosenamestandontheRegisterofMembersasbeneficialownersattheclose of business hours on Tuesday, September 19, 2017 as perthelistprovidedbyNationalSecuritiesDepositoryLimited(“NSDL”)andCentralDepositoryServices(India)Limited(“CDSL”)inrespectofsharesheldinelectronicformandasMembersintheRegisterofMembersoftheCompanyaftergivingeffecttovalidtransfersinphysicalformlodgedwiththeCompany on or before Tuesday, September 19, 2017.

14. AttheExtraOrdinaryGeneralMeetingofthemembersof the Company held on Monday, September 1, 2003, the Membershadapproved,bywayofaSpecialResolution,certainamendmentswherebyfewArticleswereinsertedintheArticlesofAssociationoftheCompanyrelatingtoenablingtheCompanytoimplementanyinstructionfromMember(s)oftheCompany to waive/forgo his/their right to receive the dividend (interimorfinal)fromtheCompanyforanyfinancialyear.Theabove referred amendments as approved at the aforesaid ExtraOrdinaryGeneralMeetinghavebeenretainedandareinter aliaformingpartofnewsetofArticlesofAssociationadoptedatthelastAnnualGeneralMeetingoftheCompanyheld on Saturday, September 17, 2016. Thus the Members of the Company can waive/forgo, if he/they so desire(s), his/their righttoreceivethedividend(interimorfinal)foranyfinancialyeareffectivefromthedividendrecommendedbytheBoardof Directors of the Company for the year ended March 31,

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2004 on a year to year basis, as per the rules framed by the BoardofDirectorsoftheCompanyfromtimetotimeforthispurpose. The Shareholder, if so wishes to waive/forgo the right to receive Dividend for the year ended March 31, 2017 shall filluptheformandsendittotheCompany’sRegistrarsonorbefore Tuesday, September 19, 2017. The form prescribed by the Board of Directors of the Company for waiving/forgoing the right to receive Dividend for any year shall be available for download on the Company’s website www.sunpharma.com undersection“Investor-Shareholder’sInformation-StatutoryCommunication”orcanalsobeobtainedfromtheCompany’sRegistrarsandShareTransferAgents,LinkIntimeIndia Private Limited.

THE BOARD OF DIRECTORS OF THE COMPANY AT ITS MEETING HELD ON SEPTEMBER 1, 2003 HAVE FRAMED THE FOLLOWING RULES UNDER OLD ARTICLE 190A (CORRESPONDING ARTICLE NO. 142 AS PER THE NEW SET OF ARTICLES OF ASSOCIATION) OF THE ARTICLES OF ASSOCIATION OF THE COMPANY FOR EQUITY SHAREHOLDERS WHO WANT TO WAIVE/FORGO THE RIGHT TO RECEIVE DIVIDEND IN RESPECT OF FINANCIAL YEAR 2002-2003 OR FOR ANY YEAR THEREAFTER.

I. A Shareholder can waive/forgo the right to receive thedividend(eitherfinaland/orinterim)towhichheisentitled,onsomeoralltheEquitySharesheldbyhiminthe Company as on the Record Date/ Book-closure Date fixedfordeterminingthenamesofMembersentitledforsuch dividend. However, the shareholders cannot waive/forgotherighttoreceivethedividend(eitherfinaland/orinterim) for a part of percentage of dividend on share(s).

II. TheEquityShareholder(s)whowishtowaive/forgotheright to receive the dividend for any year shall inform the Company in the form prescribed by the Board of Directors of the Company only.

III. IncaseofjointholdersholdingtheEquitySharesoftheCompany,allthejointholdersarerequiredtointimateto the Company in the prescribed form their decision of waiving/forgoing their right to receive the dividend from the Company.

IV. The Shareholder, who wishes to waive/forgo the right to receive the dividend for any year shall send his/her irrevocableinstructionwaiving/forgoingdividendsoas

to reach the Company before the Record Date /Book ClosureDatefixedforthepaymentofsuchdividend.Undernocircumstances,anyinstructionreceivedforwaiver/ forgoing of the right to receive the dividend for anyyearaftertheRecordDate/BookClosureDatefixedfor the payment of such dividend for that year shall be giveneffectto.

V. TheinstructiononcegivenbyaShareholderintimatinghis waiver/forgoing of the right to receive the dividend foranyyearforinterim,finalorbothshallbeirrevocableandcannotbewithdrawnforthatparticularyearforsuch waived/ forgone the right to receive the dividend. But in case, the relevant Shares are sold by the same Shareholder before the Record Date/Book Closure Date fixedforthepaymentofsuchdividend,theinstructiononceexercisedbysuchearlierShareholderintimatinghis waiver/forgoing the right to receive dividend will be invalid for the next succeeding Shareholder(s) unless suchnextsucceedingShareholder(s)intimatesseparatelyin the prescribed form, about his waiving/ forgoing of the righttoreceivethedividendfortheparticularyear.

VI. TheEquityShareholderwhowishtowaive/forgotheirright to receive the dividend for any year can inform the Companyintheprescribedformonlyafterthebeginningoftherelevantfinancialyearforwhichtherighttoreceive the dividend is being waived/forgone by him.

VII. TheinstructionbyaShareholdertotheCompanyforwaiving/ forgoing the right to receive dividend for any year is purely voluntary on the part of the Shareholder. There is a no interference with a Shareholder’s Right to receive the dividend, if he does not wish to waive/forgo hisrighttoreceivethedividend.Noactionisrequiredonthe part of Shareholder who wishes to receive dividends asusual.SuchShareholderwillautomaticallyreceivedividend as and when declared.

VIII. The decision of the Board of Directors of the Company or such person(s) as may be authorized by Board of DirectorsoftheCompanyshallbefinalandbindingonthe concerned Shareholders on issues arising out of the interpretationand/orimplementationoftheseRules.

IX. These Rules can be amended by the Board of Directors oftheCompanyfromtimetotimeasmayberequired.

15. PursuanttoSection124oftheCompaniesAct,2013,theamountofdividendremainingunclaimedforaperiodofsevenyearsshallbetransferredtotheInvestorEducationandProtectionFund(“IEPF”).TheCompanywillbetransferringtheunclaimeddividendsduringthefinancialyearsendingMarch31,2018toMarch31,2024asgivenbelow:

PertainingtoSunPharmaceuticalIndustriesLimited

Dividend for Financial Year Date of Declaration of Dividend entitled Rate of Dividend Last date for claiming

unpaid DividendDue Date for transfer

to IEP Fund2009-2010 24.09.2010 ` 13.75 per share of ` 5/- each 23.09.2017 22.10.20172010-2011 16.09.2011 ` 3.50 per share of ` 1/- each 15.09.2018 14.10.20182011-2012 10.08.2012 ` 4.25 per share of ` 1/- each 09.08.2019 07.09.20192012-2013 30.09.2013 ` 2.50 per share of ` 1/- each 26.09.2020 25.10.20202013-2014 27.09.2014 ` 1.50 per share of ` 1/- each 27.09.2021 26.10.20212014-2015 31.10.2015 ` 3.00 per share of ` 1/- each 30.10.2022 29.11.20222015-2016 17.09.2016 ` 1.00 per share of ` 1/- each 16.09.2023 15.10.2023

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Pertaining to erstwhile Ranbaxy Laboratories Limited

Dividend for Financial Year Ended

Date of Declaration of Dividend entitled Rate of Dividend Last date for claiming

unpaid DividendDue Date for transfer

to IEP Fund31.12.2010 09.05.2011 ` 2 per share of ` 5/- each 08.05.2018 06.06.2018

Members who have not encashed their dividend warrants, forthefinancialyearendedMarch31,2010andonwardsarerequestedtoapproachtheCompany’sRegistrar&ShareTransferAgents,LinkIntimeIndiaPrivateLimitedatC-101,247 Park, L.B.S. Marg, Vikhroli West, Mumbai – 400083, Maharashtra,Indiaforrevalidatingthewarrants/obtainingduplicate warrants to claim their Dividend. The Dividend declaredforthefinancialyearendedMarch31,2010andremaining unpaid and unclaimed, will be transferred to the InvestorEducationandProtectionFund(IEPF)byOctober 22,2017.PursuanttotheprovisionsofInvestorEducation andProtectionFundAuthority(Accounting,Audit,TransferandRefund) Rules, 2016, the Company has uploaded the details of unpaid and unclaimed amounts lying with the Company as on September17,2016(dateofthelastAnnualGeneralMeetingof the Company) on the website of the Company viz., www.sunpharma.comunderhead“Investor”sub-head“ShareholderInformation”aswellasonthewebsiteoftheMinistryofCorporateAffairsviz.,www.iepf.gov.in.

TheShareholdersmaynotethatpursuanttoSection124(6)oftheCompaniesAct,2013readwithInvestorEducationandProtectionFundAuthority(Accounting,Audit,TransferandRefund)Rules,2016asamendedfromtimetotime(“theRules”),thesharesinrespectofwhichdividendhasnotbeenpaidorclaimedbytheshareholdersforsevenconsecutiveyears or more shall be transferred to the demat account created by the IEPF Authority. The details of Shares liable to be transferred to the IEPF Authority are available on website oftheCompanywww.sunpharma.comunderhead“Investor”sub-head“ShareholderInformation”TheseshareswillbetransferredtotheIEPFAuthorityaspertherequirements of Rules.

Asmentionedabove,thedividend/shares,posttransferto IEPF Authority (including dividend already transferred to IEPF Authority), may be claimed by the shareholder(s) directly from the IEPF Authority by following the steps/procedure mentionedhereunder:

i) Download the form IEPF-5 from the website of IEPF (http://www.iepf.gov.in)forfilingtheclaimforrefund.Readtheinstructionsprovidedonthewebsite/instructionkitalongwiththee-formcarefullybeforefillingtheform.

ii) Afterfillingtheformsaveitonyourcomputerandsubmitthedulyfilledformbyfollowingtheinstructionsgiven in the upload link on the website. On successful uploading an acknowledgement will be generated indicatingtheSRN.PleasenotetheSRNforfuturetracking of the form.

iii) TakeaprintoutofthedulyfilledIEPF-5andtheacknowledgementissuedafteruploadingtheform.

iv) Submit indemnity bond in original, copy of acknowledgementandself-attestedcopyofe-formalongwiththeotherdocumentsasmentionedintheFormIEPF-5toMr.AshokBhuta,NodalOfficer(IEPF)oftheCompanyatitsregisteredofficeinanenvelopemarked“ClaimforrefundfromIEPFAuthority”.

v) ClaimformscompletedinallaspectswillbeverifiedbytheCompanyandonthebasisofCompany’sverificationreport, refund will be released by the IEPF Authority in favor of claimants’ Aadhaar linked bank account through electronic transfer.

16. TheMembersoferstwhileTamilnaduDadhaPharmaceuticalsLimited, erstwhile Gujarat Lyka Organics Limited, erstwhile PhloxPharmaceuticalsLimitedanderstwhileRanbaxyLaboratories Limited, who have not yet sent their share certificatesoferstwhileTamilnaduDadhaPharmaceuticalsLimited, erstwhile Gujarat Lyka Organics Limited, erstwhile PhloxPharmaceuticalsLimitedanderstwhileRanbaxyLaboratoriesLimited,respectivelyforexchangewiththesharecertificatesofSunPharmaceuticalIndustriesLimitedarerequestedtodosoattheearliest,sincesharecertificatesoftheerstwhileTamilnaduDadhaPharmaceuticalsLimited,erstwhile Gujarat Lyka Organics Limited, erstwhile Phlox PharmaceuticalsLimitedanderstwhileRanbaxyLaboratoriesLimited are no longer tradable/ valid.

17. TheMembersmaybeawarethattheEquitySharesoftheCompanyhadbeensubdividedfrom1(One)equityshareof `5/-eachto5(Five)equitysharesof` 1/- each on November 29, 2010 based on the Record Date of November 29, 2010 intermsoftheResolutionspassedbytheShareholdersoftheCompany by way of postal ballot conducted during November, 2010, the results of which were announced on November 12, 2010. The Members who have yet not sent their share certificatesof` 5/- each of the Company for exchange withnewequitysharesof`1/-eacharerequestedtosendthe same to the Company’s Registrar and Share Transfer Agents,LinkIntimeIndiaPrivateLimitedsincetheoldsharecertificatesof ` 5/- each are no longer tradable.

18. PleasenotethataspertheNotificationofSEBI,Company’ssharesareundercompulsoryDemattradingwitheffectfromNovember 29, 1999 for all the investors. You may, therefore, dematyourequityshareholdingsifnotalreadydematted,toavoid any inconvenience.

19. Route map along with prominent landmark to the Venue of the MeetingisprovidedattheendofthisNotice.

7

20. Votingthroughelectronicmeans–remoteE-voting.

1) In accordance with the applicable provisions of the SEBI(ListingObligationsandDisclosureRequirements)Regulations,2015andtheCompaniesAct,2013,readwithCompanies(ManagementandAdministration)Rules,2014 (‘the Rules’) including any amendments thereto, the Company is pleased to provide facility to its members, tocasttheirvoteelectronicallyforalltheresolutionsproposedatthe25thAnnualGeneralMeeting.TheCompany has appointed Central Depository Services (India)Limited(CDSL)toprovidee-votingfacilitytoitsmembers.

2) ThevotingrightofshareholdersshallbeinproportiontoonevoteperfullypaidequityshareoftheCompanyheldbythemasonthecut-offdateTuesday,September19,2017.

3) Theremotee-votingperiodbeginsonSaturday, September 23, 2017 at 09.00 a.m. and ends on Monday, September 25, 2017 at 05.00 p.m. During this period, shareholders of the Company, holding shares either in physicalformorindematerializedform,asonthecut-offdate i.e. Tuesday, September 19, 2017, may cast their voteelectronically.Theremotee-votingmoduleshallbedisabledbyCDSLforvotingthereafter.

4) ThefacilityforvotingthroughelectronicmeansshallalsobemadeavailableattheMeetingandMembersoftheCompanyasofcut-offdate,attendingthemeetingwhohavenotalreadycasttheirvotebyremotee-votingshallbeabletoexercisetheirrightattheMeeting.TheMemberswhohavecasttheirvotebyremotee-votingpriortotheMeetingmayalsoattendthemeetingbutshallnotbeentitledtocasttheirvoteagain.

5) Mr. Chintan Goswami, proprietor of M/s C. J. Goswami andAssociates,PracticingCompanySecretaries,Mumbai, has been appointed by the Board of Directors oftheCompany,astheScrutinizertoscrutinizethee-votingprocess(remotee-votingande-votingatthe venue) in a fair and transparent manner and has communicated his willingness to be appointed as such and that he is available for the said purpose.

6) TheProcedureandinstructionsfore-votingareasunder:

The instructions for shareholders voting electronically are as under:

(i) ThevotingperiodbeginsonSaturday, September 23, 2017 at 09.00 a.m. and ends on Monday, September 25, 2017 at 05.00 p.m. During this period, shareholders of the Company, holding shares either in physical form or in dematerialized form,asonthecut-offdateofTuesday, September 19, 2017, may cast their vote electronically. The e-votingmoduleshallbedisabledbyCDSLforvotingthereafter.

(ii) Theshareholdersshouldlogontothee-votingwebsitewww.evotingindia.com.

(iii) Click on Shareholders / Members tab.

(iv) Now Enter your User ID

a. ForCDSL:16digitsbeneficiaryID,

b. For NSDL: 8 Character DP ID followed by 8 Digits Client ID,

c. Members holding shares in Physical Form should enter Folio Number registered with the Company.

(v) NextentertheImageVerificationasdisplayedandClick on Login.

(vi) If you are holding shares in demat form and had loggedontowww.evotingindia.comandvotedonanearliervotingofanycompany,thenyourexistingpassword is to be used.

(vii) Ifyouareafirsttimeuser,followthestepsgivenbelow:

For Members holding shares in Demat Form and Physical Form

PAN Enter your 10 digit alpha-numeric PAN issued by Income Tax Department (Applicable for both demat shareholders as well as physical shareholders)• Members who have not updated

their PAN with the Company/DepositoryParticipantarerequestedtousethesequencenumber which is printed on AttendanceSlipindicatedinthePANfield.

Dividend Bank Details OR Date of Birth (DOB)

Enter the Dividend Bank Details or Date of Birth (in dd/mm/yyyy format) as recorded in your demat account or in the company records in order to login.• If both the details are not

recorded with the depository or company please enter the member id / folio number in the DividendBankdetailsfieldasmentionedininstruction(iv).

Any person who becomes a member of the Company afterdispatchoftheNoticeandholdssharesoftheCompanyasonthecut-offdateie.Tuesday,September19, 2017 and whose PAN is not registered with the CompanymayobtainthesequencenumberdetailbywritingtotheCompanyatrnt.helpdesk@linkintime.co.inor secretarial@sunpharma.com or contact Mr. Ashok Bhuta,ComplianceOfficer.

(viii) Afterenteringthesedetailsappropriately,clickon“SUBMIT”tab.

8

(ix) Members holding shares in physical form will then directlyreachtheCompanyselectionscreen.However,members holding shares in demat form will now reach ‘PasswordCreation’menuwhereintheyarerequiredto mandatorily enter their login password in the new passwordfield.Kindlynotethatthispasswordistobealsousedbythedematholdersforvotingforresolutionsof any other company on which they are eligible to vote, providedthatcompanyoptsfore-votingthroughCDSLplatform.Itisstronglyrecommendednottoshareyourpassword with any other person and take utmost care to keepyourpasswordconfidential.

(x) For Members holding shares in physical form, the detailscanbeusedonlyfore-votingontheresolutionscontainedinthisNotice.

(xi) ClickontheEVSNforSunPharmaceuticalIndustriesLimited to vote.

(xii) Onthevotingpage,youwillsee“RESOLUTIONDESCRIPTION”andagainstthesameoption“YES/NO”forvoting.SelecttheoptionYESorNOasdesired.TheoptionYESimpliesthatyouassenttotheResolutionandoptionNOimpliesthatyoudissenttotheResolution.

(xiii) Clickonthe“RESOLUTIONSFILELINK”ifyouwishtoviewtheentireResolutiondetails.

(xiv) Afterselectingtheresolutionyouhavedecidedtovoteon,clickon“SUBMIT”.Aconfirmationboxwillbedisplayed.Ifyouwishtoconfirmyourvote,clickon“OK”,elsetochangeyourvote,clickon“CANCEL”andaccordingly modify your vote.

(xv) Onceyou“CONFIRM”yourvoteontheresolution,youwill not be allowed to modify your vote.

(xvi) Youcanalsotakeoutprintofthevotingdonebyyoubyclickingon“Clickheretoprint”optionontheVotingpage.

(xvii) IfDemataccountholderhasforgottenthesamepassword then Enter the User ID and the image verificationcodeandclickonForgotPassword&enterthe details as prompted by the system.

(xviii) Shareholders can also cast their vote using CDSL’s mobile appm-Votingavailableforandroidbasedmobiles.Them-VotingappcanbedownloadedfromGooglePlayStore. Apple and Windows phone users can download the app from the App Store and the Windows Phone Storerespectively.Pleasefollowtheinstructionsaspromptedbythemobileappwhilevotingonyourmobile.

(xix) Note for Non – Individual Shareholders and Custodians

• Non-Individual shareholders (i.e. other than Individuals, HUF, NRI etc.) and Custodian are requiredtologontowww.evotingindia.com and register themselves as Corporates.

• AscannedcopyoftheRegistrationFormbearingthestampandsignoftheentityshouldbeemailedtohelpdesk.evoting@cdslindia.com.

• Afterreceivingthelogindetailsacomplianceuser should be created using the admin login and password. The Compliance user would be able to link the account(s) for which they wish to vote on.

• The list of accounts should be mailed to helpdesk.evoting@cdslindia.comandonapprovaloftheaccounts they would be able to cast their vote.

• AscannedcopyoftheBoardResolutionandPowerofAttorney(POA)whichtheyhaveissuedinfavourof the Custodian, if any, should be uploaded in PDF formatinthesystemforthescrutinizertoverifythe same and send the scan copy of the Board resolution/POAtoscrutinizer@sunpharma.com.

(xx) Incaseyouhaveanyqueriesorissuesregardinge-voting,youmayrefertheFrequentlyAskedQuestions(“FAQs”)ande-votingmanualavailableatwww.evotingindia.com,underhelpsectionorwriteanemailtohelpdesk.evoting@cdslindia.com.

Anypersonhavinganygrievancesinconnectionwithremotee-votingmaywriteto:

Name: Mr. Rakesh Dalvi, Designation: DeputyManager Address: Phiroze Jeejeebhoy Towers, 16th Floor,

Dalal Street, Fort, Mumbai – 400001. Emailid: helpdesk.evoting@cdslindia.com Phone number: 18002005533

7) TheScrutinizerwill,immediatelyaftertheconclusionofe-votingattheMeeting,startscrutinizingthevotescastattheMeetingbyelectronicmeansandvotescastthroughremotee-votingandprepareaconsolidatedScrutinizer’sReportandsubmitthereaftertotheChairmanoftheMeetingoranypersonauthorisedbyhiminwriting.TheresultdeclaredalongwiththeconsolidatedScrutinizer’sReportwillbeplacedon the Company’s website at www.sunpharma.com and on thewebsiteofCDSLatwww.evotingindia.comwithin48hoursoftheconclusionoftheMeeting.TheCompanywillsimultaneouslyforwardtheresultstoBSELimited(“BSE”)andNationalStockExchangeofIndiaLimited(“NSE”),wheretheshares of the Company are listed.

9

PRO

FILE

OF

DIR

ECTO

RS

(Det

ails

of D

irect

ors p

ropo

sed

to b

e ap

poin

ted/

reap

poin

ted

and/

or w

hose

rem

uner

ation

is p

ropo

sed

to b

e in

crea

sed)

AsrequiredunderRegulation36oftheSEBI(ListingObligationsandDisclosureRequirements)Regulations,2015(ListingRegulations)andasrequiredunderSecretarialStandard

onGeneralMeetingsissuedbytheinstituteofCompanySecretariesofIndia(SS–2),theparticularsofDirectorswhoareproposedtobeappointed/reappointedand/orwhose

remunerationisproposedtobeincreasedatthis25thAnnualGeneralMeeting,aregivenbelow:

ThedetailsofBoardandCommitteeMeetingsattendedbytheseDirectorsduringtheyear2016-17arestatedintheCorporateGovernanceReportwhichformspartoftheAnnual

Repo

rt.

Thedetailsofremuneration,whereverapplicable,areprovidedintherespectiveresolution(s)and/orintherespectiveExplanatoryStatement(s).

Parti

cula

rsM

r. Sa

ilesh

T. D

esai

Mr.

Isra

el M

akov

Mr.

Dili

p S.

Sha

nghv

iM

r. Ka

lyan

asun

dara

m S

ubra

man

ian

(“Mr.

Kal”)

Age

:62

Yea

rs78

Yea

rs61

Yea

rs63

Yea

rsBr

ief r

esum

e of

the

Dire

ctor

includingnatureofexpertisein

specificfunctionalareas:

Mr.

Saile

sh T

. Des

ai is

a sc

ienc

e graduatefromKolkataUniversityand

is a

succ

essf

ul e

ntre

pren

eur w

ith m

ore

than

thre

e de

cade

s of w

ide

indu

stria

l ex

perie

nce

inclu

ding

mor

e th

an tw

o decadesinthepharmaceuticalindustry.

Mr.IsraelMakovisaNon-executiveChairman

of th

e Co

mpa

ny si

nce

May

29,

201

2. H

e is

also

the

form

er P

resid

ent a

nd C

EO o

f Tev

a PharmaceuticalIndustriesLtd.HejoinedTeva

in 1

995

and

led

the

com

pany

’s gl

obal

exp

ansio

n,

managingover12acquisitions,twoofwhichwere

thelargestM&AdealsintheIsraelihistoryatthe

time.UnderMr.Makov’sleadership,Tevabecame

the

undi

sput

ed g

loba

l lea

der i

n th

e ge

neric

pharmaceuticalindustryandagloballeaderinthe

treatmentofMultiplesclerosis.

Mr I

srae

l Mak

ov is

Cha

irman

of B

ioLi

ght

– an

em

ergi

ng g

loba

l oph

thal

mic

com

pany

fo

cuse

d on

the

disc

over

y, d

evel

opm

ent a

nd

commercializationofproductsforophthalmic

conditionsandChairmanofMicromedic

Tech

nolo

gies

Ltd

. - a

clu

ster

of c

ompa

nies

engagedincancerdiagnostics.

Mr M

akov

is th

e fo

rmer

Cha

irman

of G

iven

Im

agin

g - t

he d

evel

oper

and

wor

ld’s

lead

ing

providerofcapsuleendoscopyandNetafim-the

pioneerandgloballeaderinsmartirrigation

solutions.

Mr.

Isra

el M

akov

hol

ds a

B.S

c. in

Agr

icul

ture

and

M

. Sc

in E

cono

mic

s fro

m th

e H

ebre

w U

nive

rsity

, Je

rusa

lem

.

Mr.

Dili

p S.

Sha

nghv

i is a

gra

duat

e in

com

mer

ce fr

om th

e KolkataUniversity.HeistheManagingDirectorofthe

CompanyandChairman&ManagingDirectorofSun

Phar

ma

Adva

nced

Res

earc

h Co

mpa

ny L

td. H

e is

the

foundingpartnerofSunPharmaceuticalIndustries,a

firmwhichwaslaterconvertedintoSunPharmaceutical

Indu

strie

s Lim

ited

(SPI

L) in

199

3. U

nder

his

lead

ersh

ip,

SPIL

has

reco

rded

an

all-r

ound

gro

wth

in b

usin

ess.

He

hasextensiveexperienceinthepharmaceuticalindustry.

AsthepromoterofSPIL,hehasbeenactivelyinvolvedin

internationalpharmaceuticalmarkets,businessstrategy,

busin

ess d

evel

opm

ent a

nd re

sear

ch a

nd d

evel

opm

ent

functionsintheCompany.

Mr.Shanghviwasconferredwiththeprestigious‘Padma

Shri’

aw

ard

by th

e H

on’b

le P

resid

ent o

f Ind

ia in

the

year

201

6. H

e is

reci

pien

t of s

ever

al a

war

ds a

s list

ed

under‘RecognitionorAwards’inpoint3ofClauseIIof

‘StatementofInformationprovidedunderScheduleV’in

the

Expl

anat

ory

Stat

emen

t.

Mr.KaljoinedSunPharmaceuticalIndustriesLimited

(SPIL)inJanuary2010after22yearswithGSKin

vario

us p

arts

of t

he w

orld

.Mr.KalisaChemistrygraduateandaChartered

Acco

unta

nt fr

om In

dia

with

37

year

s of

exp

erie

nce

of

whichsome30yearsinthepharmaceuticalindustry.

Mr.Kal’scareerinPharmaindustrybeganwhen

he jo

ined

Bur

roug

hs W

ellc

ome,

in N

ew Z

eala

nd

as C

omm

erci

al A

dviso

r in

1988

. His

long

and

va

ried

care

er w

ith B

urro

ughs

Wel

lcom

e in

New

ZealandwhichwasacquiredbyGlaxotobecome

GlaxoWellcomeandfinallyGlaxoSmithKline,includes

assig

nmen

ts a

s Vic

e Pr

esid

ent,

head

of C

lass

ic B

rand

s businessofEmergingMarkets;AreaDirectorSouth

Asia&ManagingDirector,GSKIndia;Managing

Dire

ctor

– G

laxo

Wel

lcom

e, S

inga

pore

(Sin

gapo

re,

Indochina&Myanmar).CommercialDirector-

Burr

ough

s W

ellc

ome,

New

Zea

land

.In

2010,Mr.KalJoinedSPILastheChiefExecutive

OfficertomanageIndiaandEmergingMarkets(EM)

andwasaboardmemberoftheCompany.Mr.Kalwas

instrumentalinMerck(MSD)andSPIL’scollaboration

andspearheadedopeningofSPILoperationsinfew

impo

rtan

t mar

kets

suc

h as

Japa

n, M

ENA

.In

2012,Mr.KalmovedtoUSAtoassume

responsibilityforTarooperationsinNorthAmerica.

InJan2017,Mr.KalmovedbacktoIndiatomanage

Indi

a an

d EM

regi

ons

of S

PIL.

Dat

e of

Firs

t app

oint

men

t on

the

Boar

d:M

arch

25,

199

9M

ay 2

9, 2

012

Mar

ch 1

, 199

3Fe

brua

ry 1

4, 2

017

Dire

ctor

ship

hel

d in

oth

er

com

pani

es (e

xclu

ding

fore

ign

companies&section8

com

pani

es):

Sun

Phar

ma

Labo

rato

ries

Lim

ited

SunPharmaceuticalMedicareLimited

Uni

vers

al E

nter

prise

s Pr

ivat

e Li

mite

d

NIL

Sun

Phar

ma

Adva

nced

Res

earc

h Co

mpa

ny L

imite

d Su

n Pe

troc

hem

ical

s Pr

ivat

e Li

mite

d A

lfa In

frap

rop

Priv

ate

Lim

ited

Adity

a Cl

ean

Pow

er V

entu

res

Priv

ate

Lim

ited

Sun

Phar

ma

Labo

rato

ries

Lim

ited

Mem

bers

hip

/ Ch

airm

ansh

ips

ofCommitteesofotherpublic

Com

pani

es:

1.Member-Nominationand

RemunerationCommitteeofSun

Phar

ma

Labo

rato

ries

Lim

ited

NIL

1.Member-CorporateSocialResponsibilityCommittee

of S

un P

harm

a Ad

vanc

ed R

esea

rch

Com

pany

Lim

ited

2.Chairman-FundManagementCommitteeofSun

Phar

ma

Adva

nced

Res

earc

h Co

mpa

ny L

imite

d

3.Chairman-RightsIssueCommitteeofSunPharma

Adva

nced

Res

earc

h Co

mpa

ny L

imite

d

1. M

embe

r - C

orpo

rate

Soc

ial R

espo

nsib

ility

CommitteeofSunPharmaLaboratoriesLimited

Inter-seRelationshipbetween

Dire

ctor

s:-

-M

r. D

ilip

S. S

hang

hvi i

s Br

othe

r-in

-law

of

Mr.

Sudh

ir V.

Val

ia-

No.

of S

hare

s he

ld in

the

Com

pany

(sin

gly

or jo

intly

as

firstholder)asonMarch31,

2017

:

3740747EquityShares

NIL

230285690EquityShares

NIL

10

EXPLANATORY STATEMENT PURSUANT TO SECTION 102 OF THE COMPANIES ACT, 2013AsrequiredunderSection102oftheCompaniesAct,2013,the following Explanatory Statement sets out material facts relatingtothespecialbusinesssetoutatItemNos.6to10oftheaccompanyingNoticedatedMay26,2017.

ExplanatoryStatementsettingoutthematerialfactsforresolutionsetoutatItemNo.5oftheaccompanyingNoticerelatingtoappointment of Auditors is also given hereunder.

Item No. 5:

PursuanttoprovisionsofSection139oftheCompaniesAct,2013(‘the Act’) read with the Companies (Audit and Auditors) Rules, 2014 andoncompletionoftheterm(includingthecoolingperiodofthreeyearsgrantedundertheAct)oftheexistingStatutoryAuditorsnamely,DeloitteHaskinsandSells,LLP,CharteredAccountants,theAuditCommitteeandtheBoardofDirectorsoftheCompanyhasrecommendedappointmentofSRBC&Co.LLP,CharteredAccountants(RegistrationNo.324982E/E300003)astheStatutoryAuditorsoftheCompanyforatermof5(five)consecutiveyearstoholdofficefromtheconclusionofthis25thAnnualGeneralMeetinguntiltheconclusionofthe30thAnnualGeneralMeetingoftheCompanyatsuchremuneration(exclusiveofapplicabletaxesandreimbursementofoutofpocketexpenses)asshallbefixedbytheBoardofDirectorsoftheCompanyinconsultationwiththem.Theirappointmentshallbesubjecttoratificationbythemembersas may be applicable under the provisions of the Act or rules made thereunderfromtimetotime.

SRBC&Co.LLP,CharteredAccountantshaveconsentedtoactasStatutoryAuditorsandhaveconfirmedthattheirappointment,ifmade,wouldbewithinthelimitsspecifiedunderSection141(3)(g)oftheAct.Theyhavealsoconfirmed,thattheyarenotdisqualifiedto be appointed as Auditors in terms of the provisions of the proviso toSection139(1),Section141(2)andSection141(3)oftheActandthe provisions of the Companies (Audit and Auditors) Rules, 2014 andthattheyholdavalidcertificateissuedbythePeerReviewBoardoftheInstituteofCharteredAccountantsofIndia.

TheBoardrecommendstheResolutionassetoutatitemno.5oftheNoticeforapprovaloftheMembersasanOrdinaryResolution.

NoneoftheDirectorsorKeyManagerialPersonnelortheirrelativesareinanywayconcernedorinterestedintheaboveresolution.

Item No. 6:M/s.KailashSankhlecha&Associates,CostAccountants,hasbeen appointed as the Cost Auditors by the Board of Directors oftheCompanyonrecommendationoftheAuditCommitteeforconductingauditofcostrecordspertainingtotheformulationsandbulkdrugsactivitiesoftheCompanyforthefinancialyearendingMarch31,2018ataremunerationof` 19,12,000/- (Rupees Nineteen Lakhs Twelve Thousand Only) excluding reimbursement of out of pocket expenses and applicable taxes.

IntermsofprovisionsofSection148(3)oftheCompaniesAct,2013read with Companies (Audit and Auditors) Rules, 2014, members ratificationisrequiredforremunerationpayabletotheCostAuditors.

Therefore, consent of the members of the Company is sought forpassingofanOrdinaryResolutionassetoutatItemNo.6forratificationoftheremunerationpayabletotheCostAuditorsforthefinancialyearendingMarch31,2018.

TheBoardrecommendstheResolutionassetoutatitemno.6oftheNoticeforapprovaloftheMembersasanOrdinaryResolution.

NoneoftheDirectorsorKeyManagerialPersonnelortheirrelativesareinanywayconcernedorinterestedintheaboveresolution.

Item No. 7 and 8Mr.KalyanasundaramSubramanian(‘Mr.Kal’)hadbeenappointedasanAdditionalDirectoreffectivefromFebruary14,2017bytheBoardofDirectorsoftheCompanyatitsmeetingheldonFebruary14,2017onrecommendationoftheNominationandRemunerationCommitteeoftheCompany.IntermsofSection161(1)oftheCompaniesAct,2013,Mr.KalholdsofficeuptothedateoftheensuingAnnualGeneralMeeting.TheBoardofDirectorsatthesamemeetinghadalsoappointedMr.KalasaWhole-timeDirector,foraperiodoftwoyearseffectivefromFebruary14,2017toFebruary13,2019withoutanyremuneration,subjecttoapprovalofthe members of the Company.

Asrequiredundersection160oftheCompaniesAct,2013,theCompanyhasreceivedaNoticealongwithrequisitedepositfromamemberproposingthecandidatureofMr.KalforhisappointmentasDirector of the Company.

Mr.Kalfulfilsalltheconditionsgivenundersection196(3)andSchedule –V to the Companies Act, 2013 for being eligible for his appointment.Heisnotdisqualifiedintermsofsection164oftheCompanies Act, 2013 from being appointed as Director and has given his consent to act as Director.

ThebrieftermsofappointmentofMr.KalasrecommendedbyNominationandRemunerationCommitteeandapprovedbytheBoardofDirectorsareprovidedintheResolutionsetoutatItem No.8ofthisNotice.

ThisexplanatorystatementandtheResolutionsetoutatItemNo.8ofthisNoticemayalsobereadandtreatedasdisclosureincompliancewiththerequirementsofSection190oftheCompaniesAct, 2013.

The copy of the agreement to be entered into with Mr.KalyanasundaramSubramanianisavailableforinspectionbyanymemberoftheCompanyattheRegisteredOfficeoftheCompanyon all working days except Saturdays between 11.00 a.m. and 1.00 p.m.uptothedateoftheAnnualGeneralMeetingandatthevenueoftheAnnualGeneralMeetingduringMeetinghours.

ProfileandotherparticularsofMr.Kal,asrequiredundertheprovisionsofSEBI(ListingObligationsandDisclosureRequirements)Regulations,2015andSecretarialStandardonGeneralMeetingissuedbytheInstituteofCompanySecretariesofIndia,areprovidedunderheading“PROFILEOFDIRECTORS”formingpartofthisNotice.

Themembers’approvalisbeingsoughtforappointmentofMr.KalasaWhole-timeDirectoroftheCompanyforaperiodoftwoyearseffectivefromFebruary14,2017toFebruary13,2019withoutanyremuneration,intermsofapplicableprovisionsoftheCompaniesAct, 2013 and rules made thereunder.

FurthertheMembersmaynotethat,Mr.KalhasalsobeenappointedastheCEO&Whole-timeDirectorofSunPharmaLaboratories

11

Limited (SPLL), a wholly owned subsidiary of the Company at its BoardmeetingheldonFebruary13,2017foraperiodoftwo(2)years i.e. from February 13, 2017 to February 12, 2019 and Mr. KalwillbedrawingsuchremunerationasmaybeapprovedbytheshareholdersofSPLLattheensuingAnnualGeneralMeetingofSPLL.

TheBoardrecommendstheResolutionssetoutatitemno.7and8oftheNoticeforapprovaloftheMembersasanOrdinaryResolutions.

NoneoftheDirectors,KeyManagerialPersonnelortheirrelatives,exceptMr.KalyanasundaramSubramaniantowhomtheresolutionsrelate, are in anyway concerned or interested in the above resolutions.

Item No. 9Mr. Dilip S. Shanghvi was re-appointed as the Managing Director bywayofaspecialresolutionpassedbythemembersatthe20thAnnualGeneralMeetingoftheCompanyheldonNovember8,2012,foraperiodof5(five)yearseffective from April 1, 2013 upto March 31, 2018.

OnrecommendationoftheNominationandRemunerationCommitteeoftheBoardofDirectorsoftheCompany,theBoardofDirectorsoftheCompanyatitsmeetingheldonMay26,2017,subject to approval of shareholders, re-appointed Mr. Dilip S. Shanghvi as Managing Director of the Company for a further term of5(five)yearsfromtheexpiryofhispresenttermi.e.fromApril1,2018 upto March 31, 2023.

Further the Members, subject to the approval of the Central Government,atthe24thAnnualGeneralMeetingoftheCompanyheldonSeptember17,2016,bywayofaspecialresolution,hadapprovedtherevisioninremunerationtobepaidtoMr.DilipS.Shanghvi,ManagingDirectorwitheffectfromApril1,2016forthe remaining period of his present term of appointment i.e. upto March31,2018,includingtheremunerationtobepaidtohimineventoflossorinadequacyofprofitsinanyfinancialyearduringtheaforesaidperiod,asrecommendedbytheAuditCommitteeandNominationandRemunerationCommitteeandapprovedbytheBoard of Directors.

Thebrieftermsofre-appointment(includingremuneration)ofMr.DilipS.ShanghviasrecommendedbyNominationandRemunerationCommitteeandapprovedbytheBoardofDirectorsareprovidedintheResolutionsetoutatItemNo.9ofthisNotice.

Mr.DilipS.Shanghvi,fulfilsalltheconditionsgivenundersection196(3) and Schedule V of the Companies Act, 2013 for being eligible forhisre-appointment.Heisnotdisqualifiedintermsofsection160of the Companies Act, 2013 from being appointed as Director.

ThisexplanatorystatementandtheResolutionsetoutatItemNo.9ofthisNoticemayalsobereadandtreatedasdisclosureincompliancewiththerequirementsofSection190oftheCompaniesAct, 2013.

The copy of the agreement to be entered into with Mr. Dilip S. ShanghviisavailableforinspectionbyanymemberoftheCompanyattheRegisteredOfficeoftheCompanyonallworkingdaysexceptSaturdays between 11.00 a.m. and 1.00 p.m. up to the date of the AnnualGeneralMeetingandatthevenueoftheAnnualGeneralMeetingduringMeetinghours.

Profileandotherparticulars,asrequiredunderprovisionsofSEBI(ListingObligationsandDisclosureRequirements)Regulations,2015andSecretarialStandardonGeneralMeetingsissuedbytheInstituteofCompanySecretariesofIndia,ofMr.DilipS.Shanghviareprovidedunderheading“PROFILEOFDIRECTORS”formingpartofthisNotice.

The members’ approval is being sought for re-appointment of Mr. Dilip S. Shanghvi as the Managing Director of the Company forafurthertermof5(five)years,fromtheexpiryofhispresentterm i.e. from April 1, 2018 upto March 31, 2023 and for approving hisremunerationforaperiodof3(Three)yearsfromtheexpiryofhis present term i.e. from April 1, 2018 upto March 31, 2021 as providedintheresolutionsetoutatItemno.9ofthisNotice.

TheBoardrecommendstheResolutionassetoutatItemno.9oftheNoticeforapprovaloftheMembersasaSpecialResolution.

NoneoftheDirectorsorKeyManagerialPersonneloftheCompanyandtheirrelatives,otherthanMr.DilipS.ShanghvitowhomthisresolutionrelatesandMr.SudhirV.Valia,beingbrother-in-lawofMr. Dilip S. Shanghvi, are in any way concerned or interested in the ResolutionassetoutatItemno.9oftheNotice.

STATEMENT OF INFORMATION FOR THE MEMBERS PURSUANT TO SECTION II OF PART II OF SCHEDULE V TO THE COMPANIES ACT, 2013.I. GENERAL INFORMATION 1. Nature of industry:

The Company is engaged into development, manufacture,sale,trading,marketingandexportofvariouspharmaceuticalproducts.

2. Date of commencement of commercial production: TheCompanycarriesonpharmaceuticalbusinesssince

itsincorporation.

3. Financial performance based on given indicators:

Standalone Financial Results:(` in Crores except EPS)

Particulars 2016-17 2015-16Profit(Loss)aftertax (34.95) (1087.51)Net Worth (including balance inProfit&LossAccount)

17,198.81 18,212.45

Earnings Per Share ` (0.1) ` (4.5)Turnover 7523.79 7254.09

Consolidated Financial Results:(` in Crores except EPS)

Particulars 2016-17 2015-16Profit(Loss)aftertax 6,964.37 4,545.71 Net Worth (including balance inProfit&LossAccount)

35,632.88 30,820.02

Earnings Per Share ` 29.00 ` 18.90 Turnover 30,264.23 27,888.07

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4. Foreign investments or collaboration, if any: For details of investment made by the Company, please

refer the schedule nos. 5,6,7 and 14 of the Standalone Balance sheet forming part of the Annual Report for 2016-17beingsentalongwiththisNotice.

As on March 31, 2017, the Shareholding of Foreign InstitutionalInvestors,ForeignNationalsandForeignCompanies, in the Company is detailed as under:

Particulars No. of Shares %

ForeignPortfolioInvestors 510650573 21.28ForeignNationals 23000 0.00Non Resident Indians (Repat) 4394659 0.18Non Resident Indians (Non Repat)

2281621 0.10

Foreign Companies 813562 0.03Overseas Bodies Corporate 59440 0.00Foreign Bank 25422 0.00Total 518248277 21.59

The Company has not entered into any material foreign collaboration.

II. INFORMATION ABOUT THE APPOINTEE 1. Background details:

ThebackgrounddetailsandprofileofMr.DilipS.Shanghviarestatedin“PROFILEOFDIRECTORS”tothisNotice.

2. Past remuneration:

TheremunerationpaidtoMr.DilipS.Shanghvi,ManagingDirectorforthelastfinancialyear2016-17subject to approval of the Central Government is as follows:

(` in crores)Name of the Director

Actual Remuneration paid for 2016-17

(including contribution to PF) (excluding Perquisites

such as reimbursement of electricity charges,

motor vehicle charges, etc. which shall be taken

at actuals)

Maximum limit of remuneration

approved by the Board of

Directors subject to approval of Central

Government for 2016-17 (including contribution to PF)

Mr. Dilip Shanghvi

3.18 5.64

Pursuant to the approval of the Shareholders at the 22nd AnnualGeneralMeeting,theCompanyhadappliedtotheCentralGovernmentunderSection197(3)readwithSchedule V to the Companies Act, 2013 for approval of

maximumlimitofremunerationasapprovedbymembersfor the period from April 01, 2014 to March 31, 2017. The approval granted by the Central Government was for ` 60,00,000 (Rupees Sixty Lacs only) per annum for a periodofthreeyearswitheffectfromApril01,2014toMarch31,2017.PursuanttocalculationasperPart-AofSectionIIofScheduleVoftheCompaniesAct2013readwithMinistryofCorporateAffairs(MCA)circulardatedSeptember12,2016,incaseofinadequateprofits,basedonthecalculationofeffectivecapitaloftheCompanyasonthelastdayoffinancialyearprecedingthefinancialyearoftherespectiveyearofappointmentoftheManagingDirectorforthefinancialyear2016-17theManagingDirectoriseligibleforremunerationupto ` 3.04 crores per annum, without approval of the Central Government. Accordingly the Company had made severalrepresentationstotheCentralGovernmenttoapprovetheremunerationoftheManagingDirectorupto the limit of Schedule V to the Companies Act, 2013. HowevertheMinistryofCorporateAffairs/CentralGovernmentreiteratedtheapprovalforremunerationof ` 60 lakhs each per annum for the years from April 01, 2014 to March 31, 2017 for the Managing Director andtheWhole-timeDirectors.TheCompanyhasmadefurtherrepresentation,totheCentralGovernmentforreconsideringtheapprovalonadditionalgroundsforwhich the response from the MCA is awaited.

Further at the 24th AGM, the members’ approval was alsoobtainedforrevisionintheremunerationoftheManaging Director from April 01, 2016 for the remaining period of his current term of appointment upto March 31,2018.Consequentlyduringtheyear,anapplicationforrevisionintheremunerationoftheManagingDirectorhas been made by the Company to the Ministry of CorporateAffairs.TheapprovalinrespectoftheforegoingapplicationforrevisionisalsoawaitedfromtheMCA.

Inviewoftheapprovalforapplicationofrevisioninremunerationbeingawaited,fortheyear2016-2017,theCompanyhaspaidremunerationwithintheceilinglimit of ` 3.04 crores. On receipt of the approval from the Central Government of India, the balance amount ofremunerationfortheyear2016-17,ifany,asperhisentitlement,shallbepaidtotheManagingDirectorandthesameshallbegiveneffecttointheyearinwhichtheapprovalisreceived.Excessremuneration,ifany,afterfinalapprovalinrespectoftheapplicationforrevisionisreceived, shall be refunded by the Managing Director.

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(` in crores)Name of the Director Amount of

remuneration (including contribution to PF) entitled for the year

2016-17, as approved by the Board within

the limit as approved by the members

(excluding Perquisites such as reimbursement of electricity charges, motor vehicle charges,

etc. which shall be taken at actuals)

Actual Amount Paid out of the amount

entitled for the year 2016-17, (including contribution to PF

and Perquisites such as reimbursement of electricity charges,

motor vehicle charges, etc. at

actuals)

Amount of Remuneration paid for 2016-17, after excluding Contribution to PF which is excluded for calculation of limit

as per Schedule V of the Companies Act, 2013

Maximum Remuneration p.a. as approved by Board

and by Members at the 24th AGM, subject to

approval of the Central Government, for the current

tenure of appointment*

Mr.DilipShanghvi** 3.93 3.18 2.80 5.64

*Company’scontributiontoprovidentfund,andsuperannuationfundorannuityfund,gratuitypaymentasperCompany’srulesandencashmentofleaveattheendofhistenure,arenotincludedinthecomputationof,ceilingonremunerationandperquisitesas aforesaid.

**CommissiontoManagingDirector:Subjecttoavailabilityofprofitandattherateofnotmorethan1%ofthenetprofitforthe year, the Board of Directors will determine the commission payable within the overall ceiling laid as per the Act, as may be applicablefromtimetotime.HowevernocommissionispaidtotheManagingDirector.

3. Recognition or awards:

1. Mr. Dilip S. Shanghvi, Managing Director has been awarded the following awards:

Year Awards2017 1. EntrepreneuroftheyearAIMA(AllIndiaManagementAssociation)2016 1.

2.Padma Shri – 2016 (Fourth Highest Civilian Award – Government of India)NDTVBusinessLeadershipAward–Pharmaceutical-2016

2014 1.2.3.4.

JRDTATACorporateLeadershipAwardAIMA(AllIndiaManagementAssociation)Economic Times Business Leader of the Year AwardCNBC-TV18, Outstanding Business Leader of the YearForbes Entrepreneur For The Year

2011 1. 2.3.

World Entrepreneur of the Year Ernst And YoungIndian of the Year (Business) CNN IBNBusinessman of the Year Business India

2010 1. Entrepreneur of the Year Ernst And Young2008 1.

2. Entrepreneur of the Year Economic TimesCEO of the Year Business Standard

2007 1.2.

FirstGenerationEntrepreneuroftheYearCNBCTV18PharmaceuticalCompanyIMCJuranQualityMedal

2005 1. Entrepreneur of the Year (Healthcare And Life Sciences) Ernst And Young

ThedetailsofRemunerationthattheManagingDirectorisentitled,theremunerationactuallypaidtohimandmaximumlimitofremunerationasapprovedbythemembersaredetailedbelow:

4. Job Profile and his suitability:

Mr. Dilip S. Shanghvi, Managing Director of the Company,ishighlyexperiencedandcontrolstheaffairsoftheCompanyasawholeunderthedirectionoftheBoard of Directors of the Company. He has successfully andinasustainedwaycontributedsignificantlytowardsgrowth in performance of the Company. He has extensiveexperienceinthepharmaceuticalindustry.

Heisactivelyinvolvedinter aliaininternationalpharmaceuticalmarkets,businessstrategy,businessdevelopmentfunctionsoftheCompany.

5. Remuneration Proposed:

DetailsofremunerationproposedforapprovaloftheShareholdersatthis25thAnnualGeneralMeetingoftheCompanyareasprovidedintheresolutionassetoutatItemNo.9ofthisNotice.

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6. Comparative remuneration profile with respect to industry, size of the Company, profile of the position and person:

ThecurrentremunerationbeingpaidtotheManagingDirector(lookingattheprofileofthepositionandperson)islowerthantheremunerationbeingpaidbytheCompanies of comparable size in the industry in which the Company operates.

7. Pecuniary relationship directly or indirectly with the company, or relationship with the managerial personnel, if any:

ApartfromtheremunerationandperquisitespaidtoMr.Dilip S. Shanghvi as Managing Director as stated above and his shareholding held directly or indirectly in the Company and Mr. Sudhir V. Valia being the brother in law of Mr. Dilip S. Shanghvi, he does not have any pecuniary relationshipdirectlyorindirectlywiththeCompanyandits managerial personnel.

III. OTHER INFORMATION 1. Reasons of loss or inadequate profits and steps taken

or proposed to be taken for improvement:

The Company has reported a net loss on standalone basis due to various factors including due to supply constraintsandincreasedcompliance/remediationissues / costs. However, during the current year, theCompanyhadtakenvariousinitiativesincludingoptimisationprograms,andasaresultofwhichtheloss for the current year has considerably reduced in comparison to last year.

However,theCompanycontinuestoearnprofitonconsolidatedbasisandhencetherearenospecificstepsrequiredtotakeandproposedtobetakenforimprovement other than working towards resolving someoftheaforementionedconstraints.SomeoftheCompany’ssubsidiariesinIndia&overseasareengagedinsubstantialbusinessactivities.Inviewofthis,theCompany’sstandalonerevenues&profitsarelowerwithoutaffectingadverselytherevenuesandprofitsonconsolidated basis.

2. Expected increase in productivity and profits in measurable terms:

TheCompanyhasearnedtheprofitof` 94.63 Crores duringthequarterendedMarch31,2017andtheCompany is taking appropriate measures to increase productivityandimproveprofitability.

IV. Disclosures:

Thedisclosuresasrequiredonallelementsofremunerationpackagesuchassalary,benefits,bonuses,pensions,detailsof

fixedcomponentsandperformancelinkedincentivesalongwithperformancecriteria,servicecontractdetails,noticeperiod, severance fees, etc. have been made under “Report of CorporateGovernance”formingpartoftheAnnualReport for 2017-18.

Item No. 10ShanghviFinancePrivateLimited(“SFPL”)inwhichMr.DilipS.Shanghvi, the Promoter and Managing Director of the Company, alongwithhisspouseishaving100%shareholding,hasinitiatedamergerofcertainentitieswithSFPL(hereinafterreferredtoas‘Merger’)outofwhich,someentitiesareinter alia shareholders of Aditya Medisales Limited.

AdityaMedisalesLimited(“AML”),havingCIN:U24230GJ1990PLC014535 is a public limited company, incorporated on October 16, 1990 under the Companies Act, 1956 havingitsregisteredofficeat402,4thFloor,R.K.Centre,FatehgunjMain Road, Vadodara – 390 002. AML is primarily engaged in the tradingofpharmaceuticalproducts.

Subsequenttoreceiptofapproval(s)ofMergerbytheregulatoryauthoritiesandcompletionofnecessaryformalitiesofmerger,AMLwill become a direct subsidiary of SFPL. On AML becoming a direct subsidiary of SFPL, it will become a related party of the Company fromtheeffectivedateoftheMergerasdefinedunderRegulation2(1)(zb)oftheSecuritiesandExchangeBoardofIndia(ListingObligationsandDisclosureRequirements)Regulations,2015(“ListingRegulations”)andSection2(76)oftheCompaniesAct,2013(‘theAct’). The Merger is expected to be completed before the end of financialyear2017-18.

PresentlytheCompanyishavingtransactionswithAML,andon AML becoming a related party, the Company is expected to continuehavingtransactionswithAMLwhichmayfallwithintheambitofmaterialrelatedpartytransactions.

The Company in its ordinary course of business, sells its products to AML, on an arm’s length basis which further sells the same in Indiandomesticmarkettowholesalers,stockistandothers.IntheFinancialyear2016-17,transactionswithAMLamountedtoaround` 2600 Crore (Rupees Two Thousand Six hundred Crore) comprising predominantlyofsales.ThematerialtransactionthresholdasprovidedunderListingRegulationsandaspertheCompany’sPolicyonmaterialityofrelatedpartytransaction,is10%oftheconsolidatedturnoveroftheCompanyasperthelastauditedfinancialstatementsforanytransaction(s)withtherelatedparty(ies).TheconsolidatedturnoveroftheCompanyasperthelastauditedfinancialstatementsoftheCompanyforthefinancialyear2016-17was` 30264 crores. Consideringtheturnoverof2016-17,anyrelatedpartytransactioninexcess of `3026crore(i.e.10%ofconsolidatedturnover)willrequireapproval from the members of the Company. In case the volume of transaction(s)withAMLcrossestheabovementionedthreshold,thetransaction(s)withAMLwillqualifyasmaterialrelatedpartytransactionintermsofListingRegulationsandaspertheCompany’sPolicyonmaterialityofrelatedpartytransactionandhencethesaidtransaction(s)willrequireapprovalfromtheshareholdersoftheCompanyintermsofRegulation23oftheListingRegulations.

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ThetransactionswithAMLwillbecarriedoutonthebasisofbusinessrequirementsandwillbeenteredonanarm’slengthbasisirrespectiveofwhetherthesaidtransactionsareintheordinary course of business or not and hence the approval from the shareholdersoftheCompanyisrequiredintermsofSection188 of the Act.

Therefore,pursuanttoprovisionsofRegulation23(4)ofListingRegulationsandSection188oftheAct,itisproposedtoobtainpriorapprovaloftheshareholdersbywayofanordinaryresolutionformaterialtransactionsentered/tobeenteredwithAML,onAMLbecoming a related party of the Company.

Theparticularsofthetransaction(s)pursuanttotheprovisionsofSection188oftheActandtheCompanies(MeetingsofBoardanditsPowers) Rules, 2014 are as under:

Sr. no. Particulars Information

1 Name of the Related Party Aditya Medisales Limited2 Name of Director(s) or

KeyManagerialPersonnelwhoisrelatedMr. Dilip S. Shanghvi and Mr. Sudhir V. Valia being brother in law of Mr. Dilip S.ShanghvimaybeconsideredasinterestedintheResolution.

3 NatureofRelationship ShanghviFinancePrivateLimited(“SFPL”)inwhichMr.DilipS.Shanghvi,thePromoter and Managing Director of the Company, along with his spouse ishaving100%shareholding,hasinitiatedaMergerofcertainentitieswithSFPL,outofwhich,someentitiesareinter alia shareholders of Aditya Medisales Limited which is also forming part of promoter group of the Company,asapersonactinginconcert.Subsequenttoreceiptofapproval(s)ofMergerbytheregulatoryauthoritiesandcompletionofnecessaryformalitiesof merger, AML will become a direct subsidiary of SFPL. On AML becoming a direct subsidiary of SFPL, it will become a related party of the Company from theeffectivedateoftheMerger.

4 Nature,materialtermsandparticularsofthecontractor arrangement

Natureoftransactions:AlltransactionstobecarriedoutbasedonbusinessrequirementsoftheCompanyshallbeenteredonanarm’slengthbasisirrespectiveofwhetherthesameisintheordinarycourseofbusinessornot.ThetransactionstobecarriedoutbetweentheCompanyandAMLwillbepredominantlyofsales,andothernominaltransactionssuchaspurchasesofgoods or materials, availing or rendering of services, leasing of property of any kindorothertransactionasmaybedeemedfitbytheAuditCommitteeandBoard of Directors of the Company.Termoftheapproval:Foraperiodoffiveyearsfromthedateofthis25thAnnualGeneralMeetingtillthedateof30thAnnualGeneralMeeting.

5 Monetary Value Thetransactionsupto`5000croresinthefirstfinancialyeartobeendedonMarch31,2018withincreaseinvalueandvolumeofthetransactionsinthesubsequentfinancialyears.

6 WhetherthetransactionshavebeenapprovedbyAuditCommitteeandtheBoardofDirectors

Yes

7 AnyotherinformationrelevantorfortheMemberstomakeadecisionontheproposedtransactions

None

TheBoardisoftheopinionthattheaforesaidrelatedpartytransaction(s)isinthebestinterestoftheCompany.

Themembers’approvalisbeingsoughtforapprovalofthetransactionstobeenteredwithAMLpursuanttoRegulation23(4)ofListingRegulationsandSection188oftheActoranyotherprovisionsofanyoftheActand/orListingRegulations.Further,intermsofprovisionsoftheActandRegulation23(4)oftheListingRegulations,allrelatedparty(ies)willabstainfromvotingonthisresolutionassetoutatItemno.10oftheNotice.

TheBoardrecommendstheResolutionassetoutatItemNo.10oftheNoticefortheapprovaloftheMembersasanOrdinaryResolution.

Mr.DilipS.Shanghvi,ManagingDirectorandMr.SudhirV.Valia,Whole-timeDirector,beingbrother-in-lawofMr.DilipS.Shanghviareconcernedorinterestedinthisresolution.RelativesofMr.Dilip.S.ShanghviandMr.SudhirV.Valiamayalsobedeemedtobeinterestedinthisresolution.

Saveandexcepttheabove,noneoftheDirectorsorKeyManagerialPersonneloftheCompanyortheirrelativesareinanywayconcernedorinterestedintheResolutionassetoutatItemno.10oftheNotice.

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