Daiichi Sankyo, which had announced the acquisition of pharma major Ranbaxy in June this year, on Thursday, said it has deferred its open offer for an additional 20% stake in the Indian firm, following a delay in approval for the same from market regulator Securities and Exchange Board of India (Sebi).
In a public announcement made to shareholders, Daiichi Sankyo said the revised schedule for the open offer of Rs 6,818.65 crore for a 20% stake in Ranbaxy would be announced separately. The offer was originally scheduled to open on August 8 and close on August 27.
According to informed Sebi sources, the regulator has sought information with respect to certain litigation from the acquirer. The regulator has also sought reasons from the acquirer for not filing the details of the instant case.
Sources also said that the acquirer claimed that it has filed a counter case by filing a petition, details of which has also been sought. Ranbaxy stock closed at Rs 499.10 on the Bombay Stock Exchange on Thursday, up 1.29%.
The Daiichi statement said, “The revised schedule of activities in respect of the offer pertaining to acquisition of the equity shares of Ranbaxy Laboratories Ltd will be announced separately after receiving Sebi’s observations.”
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 would be named by Daiichi Sankyo.
On successful completion, Daiichi would hold over a 58.09% stake in Ranbaxy. Ranbaxy had said in a statement that its deal with Daiichi Sankyo is on track and there is no change in the terms and conditions of the deal.
“The delay in the open offer is procedural in nature.
The revised date of open offer will be communicated soon,” a company spokesperson said.
On June 16, the Japanese firm, which is acquiring promoters’ 34.8% stake in Ranbaxy, had made an open offer for acquiring up to 9.21 crore shares, representing a 20% stake in Ranbaxy at a price of Rs 737 each.
Earlier, Malvinder Mohan Singh, CEO, Ranbaxy had alleged that some multinationals and a leading Indian company has been trying to thwart the Daiichi deal and bring down its scrip prices.