Ranbaxy Pharmceuticals is selling out to Japanese firm Daiichi Sanky
Posted on: June 11, 2008 - 8:14am
TheIndiaStreet
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Joined: 2008-04-02
Ranbaxy Pharmceuticals is selling out to Japanese firm Daiichi Sanky
The Singh family, the promoters of India’s largest pharma company Ranbaxy Pharmceuticals, are selling a large part of their 35 per cent stake in the parent company to Japanese firm Daiichi Sankyo. The deal value could be in the range of $2.7-3.7 billion. The company is holding a press conference today at 2 pm in Delhi, where an announcement is expected on the deal (we will be doing live coverage).
It’s surprising that Ranbaxy promoters - Malvinder (left in the pic) and Shivinder Singh (right) - are exiting the group’s flagship business. Ranbaxy was set up by their grandfather Bhaimohan Singh (born into a refugee family from Pakistan) in the 1950s, which later grew into India’s first MNC under the stewardship of Dr Parminder Singh (son of Bhaimohan and father of Malvinder and Shivinder).
The family is believed to be selling most of their holdings, and that amount to giving up the control of the business. The family owns about 35 per cent in Ranbaxy.
The stock market had already got the wind of such a deal, and Ranbaxy’s share price rose 6.5 per cent on Monday. The Ranbaxy stock was up over 3 per cent today, and has now cooled off to Rs 564 currently. On Monday, Ranbaxy ended the day at Rs 560.75 up from the previous day’s close of Rs 526.4, touching a 52-week high to Rs 568.6 on the Bombay Stock Exchange.
Reports uggest that some banks have been taking positions in Ranbaxy in the last one month in anticipation of a strategic stake sale by the promoters of the company, the Singh family.
It’s surprising that Ranbaxy promoters - Malvinder (left in the pic) and Shivinder Singh (right) - are exiting the group’s flagship business. Ranbaxy was set up by their grandfather Bhaimohan Singh (born into a refugee family from Pakistan) in the 1950s, which later grew into India’s first MNC under the stewardship of Dr Parminder Singh (son of Bhaimohan and father of Malvinder and Shivinder).
The family is believed to be selling most of their holdings, and that amount to giving up the control of the business. The family owns about 35 per cent in Ranbaxy.
The stock market had already got the wind of such a deal, and Ranbaxy’s share price rose 6.5 per cent on Monday. The Ranbaxy stock was up over 3 per cent today, and has now cooled off to Rs 564 currently. On Monday, Ranbaxy ended the day at Rs 560.75 up from the previous day’s close of Rs 526.4, touching a 52-week high to Rs 568.6 on the Bombay Stock Exchange.
Reports uggest that some banks have been taking positions in Ranbaxy in the last one month in anticipation of a strategic stake sale by the promoters of the company, the Singh family.