Drug-maker Sun Pharmaceutical Industries Ltd has proposed the acquisition of all outstanding shares in its Israeli subsidiary, Taro Pharma.
Sun had completed its delay-stung takeover of Taro only about a year ago, after a three-year legal battle, across different geographies. In a letter to Taro, Sun has proposed that it would acquire all outstanding shares of Taro held by Sun Pharma for $24.50 a share in cash — representing a 25.96 per cent premium over the most recent closing price of Taro common stock.
Sun Pharma will have to fork out about $370 million for the estimated 15 million odd outstanding shares, an official familiar with the development told
The offer for the remaining outstanding shares is subject to the approval of the Taro board of directors, among others, Sun said.
Sun Pharma shares on Wednesday settled 3.09 per cent higher at Rs 482 on the BSE. The surge in the share price took the company’s market value to Rs 49,913 crore from Rs 48,418 crore yesterday.
On the National Stock Exchange, the stock settled at Rs 483, up 3.55 per cent from its last close.