Shareholders of German Remedies (GRL) participating in the open offer made by Zydus Cadilla will have to settle for the lower price of Rs 650 per share. This is the stance of the Securities and Exchange Board of India (Sebi).
The capital markets regulator has ruled that it can only regulate the prices of the shares and not the prices of brands and, therefore, only the price of the shares (Rs 650) will be taken as the acquisition price and not the price which includes the valuations of five brands bought by Zydus Cadilla from Asta Medica.
This view of Sebi is understood to be in line with its ruling in a previous case involving Spic, sources said. A formal order in this case will be passed by Sebi chairman DR Mehta after he returns from Stockholm.
Asta, one of the German parents of GRL, had asked all bidders to submit two bids
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →
Smart Quarterly
₹900
3 Months
₹300/Month
Smart Essential
₹2,700
1 Year
₹225/Month
Super Saver
₹3,900
2 Years
₹162/Month
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app