Drug firm Cipla on Wednesday said it had made an offer of about $220 million (over Rs.1,200 crore) to acquire 51 per cent stake in South African firm Cipla Medpro.
In a filing to the Bombay Stock Exchange (BSE), Cipla said the company “is in preliminary discussions and has made an indicative proposal in relation to the acquisition of an approximately 51 per cent stake in Cipla Medpro South Africa Ltd”.
Shares jump 2.61 %
Shares of Cipla on Wednesday jumped 2.61 per cent to close at Rs.389.70 apiece on the BSE, the biggest gainer among 30 Sensex stocks.
Stating that the ongoing discussions are subject to various conditions, Cipla said: “At this stage, there is no certainty that these discussions will lead to a firm offer being made or a transaction being consummated.”
Cipla Medpro is a distributor of the Indian firm’s products in South Africa and certain neighbouring market s. Chief Executive of Cipla Medpro Jerome Smith, who recently resigned, had established Medpro Pharmaceutica in 1993.
