Friday, 11 April 2014

Ranbaxy-Sun deal expected to close by year end, says Daiichi - Financial Express

Home
Corporates & Markets

Press Trust of India | New Delhi | Updated: Apr 12 2014, 03:58 IST

SummaryThe $4- billion merger of Ranbaxy with Sun Pharma is expected to close by the end of 2014, Japanese drug maker Daiichi Sankyo

The $4- billion merger of Ranbaxy with Sun Pharma is expected to close by the end of 2014, Japanese drug maker Daiichi Sankyo, which holds a majority stake in the former, said on Friday.

Daiichi had acquired a majority stake in Ranbaxy Laboratories in 2008 for around R22,000 crore.

Earlier this week, Sun Pharma had announced to acquire Ranbaxy Laboratories in an all-stock transaction with a total equity value of $3.2 billion, along with debt of $800 million, taking the overall deal value to $4 billion.

"The merger is expected to close by the end of December 2014, pending shareholder, court and regulatory approvals and other customary conditions," Daiichi Sankyo said in a statement.

Daiichi Sankyo is currently in the process of determining the impact of this transaction on earnings, it added.

According to the company's estimates, the merger deal would get approval from Indian securities exchanges by June end.

More from Corporates & Markets

Bonds gain for second dayGovernment bonds gained for a second straight session on Thursday as investors continued to hunt for bargains after a sharp fall in debt prices over recent sessions, but sentiment remained cautious ahead of the lined-up debt supplies.

Hiranandani buys Hirco�s Chennai township for Rs 600 crore Quick view: Tata Motors launches updated Aria at R9.95 L