Tokyo: Daiichi Sankyo, Japan’s No. 3 drugmaker, said it would go ahead with a planned $17 million bid for 20% of Indian generics maker Zenotech Laboratories after the Indian Supreme Court approved the deal.
Daiichi Sankyo had put its offer for the company on hold a year ago at the request of a lower court responding to a petition by one or more minority shareholders of Zenotech regarding the offer price..
Daiichi Sankyo said it would launch a tender offer at Rs113.62 ($2.46) per share, spending up to Rs78.20 crore for the 20% stake as originally planned. The offer will run from 4 tp 23 August.
Ranbaxy Laboratories, an Indian generics maker majority owned by Daiichi Sankyo, has a stake in Zenotech.
The objective of the bid for Zenotech shares is mainly to comply with Indian law, which requires Daiichi Sankyo to hold an open offer for Zenotech shares following its acquisition of a controlling stake in Ranbaxy.
Shares of Daiichi Sankyo closed down 2.1% at ¨¥1,604 , in line with the benchmark Nikkei average.