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The Chairman and Managing Director of Ranbaxy, Mr Malvinder Singh, and the President and CEO, Daiichi Sankyo Co Ltd, Mr Takashi Shoda in this file photo. — PTI

Our Bureau

New Delhi, Aug. 5 Ranbaxy Laboratories on Tuesday said that the open offer by the Japanese drug maker Daiichi Sankyo for acquiring an additional 20 per cent stake in the Indian drug company will commence on August 16 and close on September 4.

The announcement comes after the Securities and Exchange Board of India gave its nod for the open offer on Monday. Daiichi Sankyo had earlier set August 8 for launching the open offer but had to defer it following the delay in receiving approval from the market regulator.

Now that the approvals have come through, Daiichi Sankyo has announced the revised dates for the open offer. The Japanese company is planning to acquire up to 9.21-crore shares at Rs 737 each through the open offer. It will also buy 34.81 per cent stake in Ranbaxy held by the Singh family.

Daiichi Sankyo will also acquire 9.5 per cent through preferential allotment of equity shares and another 4.5 per cent through share warrants to be issued on a preferential basis. Daiichi Sankyo’s stake in Ranbaxy could go up to 58 per cent after the open offer. The entire deal is valued at $3.4-4.6 billion.

On completion of the acquisition, the board of directors would be re-constituted to comprise 10 members, of which a combination of four independent and non-independent directors would be nominated by Ranbaxy, while the rest six will be named by Daiichi Sankyo.

The approval for the open offer from SEBI came close on the heels of the Foreign Investment Promotion Board giving its nod to the deal between Daiichi Sankyo and the Singh family.

More Stories on : Open Offers | Pharmaceuticals | Ranbaxy Laboratories Ltd

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