Sun Pharma Completes Merger with Taro - $347.73 Million Deal
By Rediff Money Desk, New Delhi Jun 24, 2024 17:16
Sun Pharma has completed the merger of Taro Pharmaceutical Industries, making Taro a wholly-owned subsidiary. The deal, valued at $347.73 million, brings together two pharmaceutical giants.
![Sun Pharma Completes Merger with Taro - $347.73 Million Deal](https://im.rediff.com/money/2012/jun/27pharma1.jpg)
New Delhi, Jun 24 (PTI) Sun Pharmaceutical Industries on Monday said it has completed the merger of Taro Pharmaceutical Industries with itself in a deal valued at USD 347.73 million.
As part of the merger, Sun Pharma has acquired all outstanding ordinary shares of Taro other than the shares already held by it or its affiliates, the Mumbai-based drug major said in a statement.
After the merger, Taro is now a private company and wholly-owned by Sun Pharma, it added.
Sun Pharma has been the majority shareholder of Taro since 2010.
"This milestone marks a significant step forward for both organisations, allowing us to effectively leverage each other's strengths and capabilities," Sun Pharma Chairman and Managing Director Dilip Shanghvi said.
Last year in May, Sun Pharma issued a letter to the Taro Board with a proposal containing a non-binding indication of interest to acquire all the outstanding ordinary shares at USD 38 per unit.
Based on Sun Pharma's expression of interest, the Taro Board constituted a special committee of its Independent Directors to evaluate Sun Pharma's proposal.
After negotiations, on December 10, 2023, the special committee of the Taro Board confirmed its in-principle agreement for a revised purchase price of USD 43 per share and negotiated the merger agreement.
On June 24, 2024, the Registrar of Companies in Israel issued a merger certificate.
The total deal value is USD 347.73 million, Sun Pharma said.
Headquartered in New York, Taro has business operations in the US, Canada, Israel and Japan. It has manufacturing facilities in Canada (Brampton) and Israel (Haifa).
Primarily focused on dermatology, Taro produces a wide range of prescription and over-the-counter products.
Shares of Sun Pharma ended 1.93 per cent higher at Rs 1,494.75 apiece on the BSE.
As part of the merger, Sun Pharma has acquired all outstanding ordinary shares of Taro other than the shares already held by it or its affiliates, the Mumbai-based drug major said in a statement.
After the merger, Taro is now a private company and wholly-owned by Sun Pharma, it added.
Sun Pharma has been the majority shareholder of Taro since 2010.
"This milestone marks a significant step forward for both organisations, allowing us to effectively leverage each other's strengths and capabilities," Sun Pharma Chairman and Managing Director Dilip Shanghvi said.
Last year in May, Sun Pharma issued a letter to the Taro Board with a proposal containing a non-binding indication of interest to acquire all the outstanding ordinary shares at USD 38 per unit.
Based on Sun Pharma's expression of interest, the Taro Board constituted a special committee of its Independent Directors to evaluate Sun Pharma's proposal.
After negotiations, on December 10, 2023, the special committee of the Taro Board confirmed its in-principle agreement for a revised purchase price of USD 43 per share and negotiated the merger agreement.
On June 24, 2024, the Registrar of Companies in Israel issued a merger certificate.
The total deal value is USD 347.73 million, Sun Pharma said.
Headquartered in New York, Taro has business operations in the US, Canada, Israel and Japan. It has manufacturing facilities in Canada (Brampton) and Israel (Haifa).
Primarily focused on dermatology, Taro produces a wide range of prescription and over-the-counter products.
Shares of Sun Pharma ended 1.93 per cent higher at Rs 1,494.75 apiece on the BSE.
Source: PTI
Read More On:
DISCLAIMER - This article is from a syndicated feed. The original source is responsible for accuracy, views & content ownership. Views expressed may not reflect those of rediff.com India Limited.
You May Like To Read
TODAY'S MOST TRADED COMPANIES
- Company Name
- Price
- Volume
- GTL Infrastructure
- 2.74 (+ 2.62)
- 84886833
- Srestha Finvest
- 2.24 (+ 4.67)
- 34707853
- Ola Electric Mobilit
- 132.76 (+ 19.99)
- 27685743
- Suzlon Energy Ltd.
- 79.93 (+ 4.10)
- 27308498
- IFL Enterprises
- 1.22 (+ 4.27)
- 24757806
MORE NEWS
![Sebi Eases...](https://im.rediff.com/80-80/money/2024/aug/10sebi1.jpg)
Sebi Eases Compliance for Listed NCDs - New...
Sebi proposes amendments to simplify compliance requirements for entities with listed...
![Chandrasekaran:...](https://im.rediff.com/80-80/news/2018/jan/04modi.jpg)
Chandrasekaran: Learn From Indian Wisdom &...
Tata Group Chairman N Chandrasekaran emphasizes the importance of learning from Indian...
JSW Cement Files IPO Papers to Raise Rs 4,000...
JSW Cement has filed draft papers with Sebi for an IPO to raise Rs 4,000 crore. The IPO...