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Sun Pharma gains after commencing tender offer for acquisition of InSite Vision

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Capital Market
Last Updated : Sep 30 2015 | 11:02 AM IST

Sun Pharmaceutical Industries rose 1.83% to Rs 866 at 10:32 IST on BSE after the company said it has commenced a tender offer through its indirect wholly owned subsidiary, for acquisition of all of the outstanding shares of InSite Vision.

The company made the announcement after market hours yesterday, 29 September 2015.

Meanwhile, the S&P BSE Sensex was up 250.35 points or 0.97% at 26,029.01.

On BSE, so far 18.18 lakh shares were traded in the counter as against average daily volume of 3.25 lakh shares in the past one quarter.

The stock hit high of Rs 866.60 and low of Rs 858.50 so far during the day. The stock had hit a record high of Rs 1,200.70 on 7 April 2015. The stock had hit a 52-week low of Rs 792 on 17 October 2014.

The stock had underperformed the market over the past one month till 29 September 2015, sliding 3.9% compared with Sensex's 2.33% fall. The scrip had also underperformed the market in past one quarter, gaining 0.09% as against Sensex's 6.75% fall.

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The large-cap company has equity capital of Rs 240.65 crore. Face value per share is Re 1.

Sun Pharmaceutical Industries (Sun Pharma) announced that it has commenced a tender offer through its indirect wholly owned subsidiary, Thea Acquisition Corporation, for all of the outstanding shares of common stock of InSite Vision Incorporated for $0.35 per share in cash, without interest and less any required withholding taxes.

It may be recalled that Sun Pharma had on 16 September 2015, announced plans to acquire InSite Vision. For the six months period ended 30 June 2015, InSite Vision recorded revenues of $3.8 million, an EBITDA loss of $6.4 million and a net loss of $7.5 million.

Sun Pharmaceutical Industries' consolidated net profit dropped 60.2% to Rs 478.96 crore on 3.3% growth in net sales to Rs 6522.16 crore in Q1 June 2015 over Q1 June 2014.

Sun Pharmaceutical Industries manufactures specialty and generic medicines, targeting a wide spectrum of chronic and acute treatments. The therapeutic segments include psychiatry, anti-infectives, neurology, cardiology, orthopaedic, diabetology, gastroenterology, ophthalmology, nephrology, urology, dermatology, gynaecology, respiratory, oncology, dental and nutritionals.

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First Published: Sep 30 2015 | 10:34 AM IST

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