Twitter Updates 2.2: FeedWitter

Wednesday, February 11, 2009

Daiichi Sankyo to buy out Ranbaxy: US$ 2.7 to 3.7 bn


Japanese major Daiichi Sankyo is all set to buy out Ranbaxy, paying anything between 30 per cent and 50 per cent premium for the pharmaceutical company. It would mean the complete exit of Ranbaxy promoters from the company.

CJ: Arindam Roy, 11 Jun 2008 Views:1597 Comments:0


THE PHARMACEUTICAL poster boy Malvinder Singh is all set to sell 34.8 per cent stake in Ranbaxy Laboratories Ltd to the Japanese firm, Daiichi Sankyo Co. Thereafter, the Japanese major will have to make a purchase offer of an additional 20 per cent from the ordinary shareholders, as per the Indian laws.

Daiichi Sankyo would hold a controlling 51 per cent stake in the Indian company. Board meeting of Ranbaxy was on at Gurgoan, at the time of filing this report.

The deal is estimated at 300 to 400 bn Yen, which translates to US $ 2.7 to 3.7 bn. It is the biggest deal in the history of Indian pharma takeover by an international company.

Though the promoters of Ranbaxy, Malvinder Singh and Shivinder Singh will hold about 26 per cent stake in the firm, it would mean the complete exit of Ranbaxy promoters from the company. Sources inform that the Indian promoters would continue to play ‘important role’ in the international conglomerate.

The multi-billion dollar sale caused a positive breadth in the market. As many as 863 shares have advanced, while 195 shares declined on the NSE. Midcap and small cap indices were up over 1.5 per cent each, on Wednesday morning.

It is learnt that Malvinder is flying off to Japan, on Wednesday (June 11) evening.

(Link: http://www.merinews.com/catFull.jsp?articleID=135574 )

No comments:

Post a Comment