The Competition Commission of India (CCI) granted approval to the proposed combination involving acquisition of shareholding up to 59.38 per cent of Unichem Laboratories Limited by Ipca Laboratories Limited, it announced in a statement.
Ipca Laboratories (acquirer) is a pharmaceutical company that manufactures formulations and active pharmaceutical ingredients for various therapeutic segments. Unichem Laboratories (target) is active in the sale of formulations, active pharmaceutical ingredients, intermediates, and contract manufactured finished formulation dosages, globally.
The proposed combination, CCI informed, pertains to proposed acquisition of ~33.38 per cent of the issued and paid-up equity voting share capital (on a fully diluted basis) of the target company by the acquirer pursuant to a share purchase agreement. Since Ipca Laboratories is acquiring >25 per cent shareholding in Unichem Laboratories, the acquirer is required to make an open offer for the purchase of equity shares up to 26 per cent of the target’s equity share capital in accordance with theSEBI (Substantial Acquisition of Shares and Takeovers) regulations, 2011.
The CCI approved the proposed combination subject to compliance of undertaking voluntarily submitted by the parties.