Daiichi Sankyo to put off offer for Zenotech

Japan’s third-largest pharma company, Daiichi Sankyo, stated on Monday that the offer to acquire an additional 20 per cent stake in Zenotech will not open on August 11. The statement is in view of the appeals filed by Hyderabad-based Zenotech Laboratories Ltd’s shareholders Jayaram Chigurupati and Narayanan before the Securities Appellate Tribunal (SAT). On August 7, SAT admitted the appeals and directed that status quo be maintained in connection with the offer. The next hearing is scheduled for September 4, Zenotech said in a filing to the BSE on Monday. Daiichi Sankyo, as a result of the acquisition of a majority stake in Ranbaxy Laboratories in October 2008, now has an indirect control of a little over 40 per cent in Zenotech Laboratories.

Daiichi Sankyo had announced in January that it would launch an open offer in March. The offer, however, was delayed twice first due to a prolonged review by the regulators and then by a high court hearing on the petition.

Zenotech shares ended at Rs 105.10, 0.19 per cent lower than its previous close of Rs 105.30, at close of Monday’s trade on the BSE.