Shares of Sun Pharmaceutical Industries and Ranbaxy Laboratories on Tuesday settled in the positive territory after regulatory nods paved the way for completion of their $4-billion merger.
Reacting to these developments, shares of Sun Pharmaceutical Industries and Ranbaxy Laboratories surged as much as 2.51 per cent and 2.83 per cent respectively to touch an intra-day high of Rs. 1049 and Rs. 827.40.
At the end of the day’s trade, Sun Pharmaceutical Industries ended at Rs. 1,039.85, up 1.55 per cent and Ranbaxy Laboratories closed at Rs. 819.55 apiece, up 1.86 per cent.
Sun Pharmaceutical Industries is slated to make an important announcement on Wednesday.
The Dilip Shanghvi-led firm on Tuesday said it has received RBI nod for transfer of overseas investments of Ranbaxy to it and issue its shares to the non-resident shareholders of the latter as part of their $4-billion merger deal.
The central bank also approved issue of equity shares of Sun Pharma to the non-resident holders of equity shares of Ranbaxy Laboratories, the filing added. The two firms have also received nod from the Competition Commission for sale of seven brands to Emcure Pharma to comply with the fair trade watchdog’s conditional nod for their merger.
In an order issued on Monday, CCI approved the deal with Emcure, which would purchase the ‘divestment products’ that were ordered to be sold in an earlier direction issued in December last by the Competition Commission of India (CCI).
