Mylan's Matrix Lab bid delayed

Close on the heels of the delay in Heidelberg Cement's open offer for Mysore Cement, the open offer by Mylan Laboratories to buy 20 per cent stake in Matrix Laboratories is also facing delay.

Sources said the open offer by Mylan Laboratories Inc in Hyderabad-based Matrix Laboratories, slated to open on October 20, would be delayed by at least one week. Though DSP-Merrill Lynch, the investment bank dealing with the Mylan's open offer, had duly responded to clarifications sought by the Securities and Exchange Board of India (Sebi) in the offer letter, there was a possibility of a postponement in the original offer date, sources said.

When contacted, an official in DSP-Merrill Lynch said, "If there is a delay, we would come out with an announcement on the stock exchanges."

According to sources, an official announcement was expected in the next couple of days. As per the original schedule, the open offer was to close on November 8, 2006, but this date would also be postponed in line with the rescheduled dates. This would be the second offer that is getting delayed in recent times.

Earlier, Heidelberg Cement's open offer for Mysore Cement got stuck at the Securities and Exchange Board of India (Sebi).

Following Sebi's clarifications on Heidelberg's open offer, the investors are awaiting a fresh date from investment bankers Ambit Capital for the offer. The original date for open offer in Mysore Cement was 6 September.

Sources said there would not be a revision in the offer price in the case of Matrix Laboratories.