Emami revises offer price for Zandu shares once againOctober 3rd, 2008 - 8:29 pm ICT by IANS
New Delhi, Oct 3 (IANS) Emami Ltd, the fast moving consumer goods major, Friday said it has revised the open offer price for purchasing 20 percent stake in Zandu Pharmaceutical to Rs.16,500 per share.The announcement comes within 15 days after Emami doubled the offer price to Rs.15,000 per share, from the initial Rs.7,315 a piece.
“Emami has revised the offer price in respect of the public offer made by it for acquisition of equity shares of Zandu Pharmaceuticals Works Ltd from Rs.15,000 each to Rs.16,500 per share,” a company statement said.
In June, Emami had made an open offer for acquiring up to 161,280 shares representing 20 percent in Zandu, after it raised its stake in the company to 27.51 percent.
Emami had picked 24 percent stake in Zandu at Rs.6,900 per share from one of its promoter families. This, along with the existing holding of Emami, had raised the firm’s holding in Zandu to 27.5 percent.
According to Indian takeover regulations, an acquirer has to make an open offer for an additional 20 percent in the target firm when its stake increases to 15 percent.
The open offer started Sep 26 and will close Oct 15.