AstraZeneca Pharma surges ahead of board meet for delisting

The board will meet on March 15, to consider delisting proposal received from AstraZeneca Pharmaceuticals AB, Sweden.

AstraZeneca Pharma India has surged over 8% to Rs 1,155 on the BSE ahead of the board of directors meeting tomorrow to consider voluntary delisting proposal received from AstraZeneca Pharmaceuticals AB, Sweden.

The stock opened at Rs 1,135 and touched a high of Rs 1,170 on the BSE. A combined 65,000 shares changed hands on the counter in early morning deals on the BSE and NSE.

“The voluntary delisting proposal from AstraZeneca Pharmaceuticals AB, Sweden in terms of their letter dated March 1, 2014 will be considered at the meeting of the board of directors of the company on March 15,” AstraZeneca Pharma India said in a filing to the BSE.

The promoter of pharmaceutical company is planning to delist company’s equity shares from various bourses including the BSE and the National Stock Exchange.

Earlier this month, AstraZeneca Pharma had received by email a letter from AZP AB Sweden, promoter of the company, proposing to make a voluntary delisting offer to the public shareholders from BSE, NSE and Bangalore Stock Exchange.

However, the board of directors met on March 5 to discuss the delisting proposal but decided they needed more information before deciding.

“After discussion, it was decided to seek additional information from the promoter, AstraZeneca Pharmaceuticals AB, Sweden. Pending receipt of such additional information, consideration of the promoter’s letter dated March 1 was deferred,” said the notice on the BSE website.

The stock had appreciated 70% from Rs 731 on February 4, before falling nearly 14% after the board deferred the delisting proposal.

Astrazeneca Pharmaceuticals AB holds 75% in AstraZeneca Pharma India.