Cipla, Indias fifth-largest drugmaker by sales, said it would spend about $512 million, or 10 rand a share, to buy Cipla Medpro and then delist the South African drugmaker.
Cipla in November 2012 offered to buy 51% of Cipla Medpro at 8.55 rand a share. After Ciplas initial offer, the South African firm won a 1.4-billion rand government drug contract, leading analysts to revalue the African firm higher.
The Medpro board has recommended to its shareholders to vote in favour of the latest offer.