Sources say the company has notified the stock exchange of the change in plans and Tuesday's board meeting will now consider routine matters. The proposed 13 per cent preference share offer had a three-year tenure and sources add that the company had notified the stock exchange as a matter of abundant caution.

The latest move comes even as speculation has been rife over the chances of a private placement by Lupin's promoters. Approximately 80 per cent of Lupin's equity capital is controlled by the promoters (following the redemption of warrants), while the rest is held by the public.

The Lupin top brass had, last week, told The Financial Express that there was no truth in speculation that it had sewn up plans for a private placement (at that timerumoured to be American International Group, Inc), though the markets continue to be agog with talk of a possible alliance.

Over a year ago, Lupin had been in talks with EM Warburg Pincus and Co, a $7 billion US-based investment fund with major interests in the healthcare sector worldwide. Talks had, however, fallen through subsequently.

The Lupin scrip, which closed the day at Rs 113.20 on the Bombay Stock Exchange (BSE) has been, of late, moving in the 100 plus range. The scrip had closed the day last Monday (July 12) at Rs 108, well below its 52-week high of Rs 151.40 as on March 12, 1999. Lupin, the market leader in the anti-TB drugs segment, expects to touch the Rs 1000 crore turnover mark by the turn of the century.