Japan's Daiichi Sankyo will re-launch a planned open offer for shares of India's Zenotech Laboratories after an Indian court reversed an earlier injunction suspending the offer.
Supreme Court allows Daiichi Sankyo open offer for Zenotech
The offer to buy up to 20 per cent at Rs 113.62 a share in the Indian generics maker will now open on Aug. 11 and close Aug. 31, according to an announcement to the Bombay Stock Exchange on Wednesday.
A court hearing a petition by a Zenotech shareholder had in July put on hold Daichii's open offer for the firm. The shareholder had contended that the price Daichii was offering was too low.
Madras HC halts Daiichi's open offer for Zenotech
Zenotech's minority shareholders complained to the Madras High Court that Daiichi Sankyo's offer to pay Rs 113.62 per share was too low and that they would seek Rs 160 per share, The Economic Times newspaper had reported in July.
Daiichi Sankyo bid for Zenotech on hold
Daiichi Sankyo, which bought a 64 per cent stake in India's largest generic drug maker Ranbaxy Laboratories last year, said in January it aimed to buy 20 per cent of Zenotech, in which Ranbaxy has a 47 per cent stake, to comply with India's ownership requirement for indirect stakeholders.
Zenotech shares closed 1.4 per cent higher at Rs 105.45 against a 0.3 per cent rise in the broader market.
