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Sun Pharma-Ranbaxy merger to create India's largest pharma company

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Capital Market
Last Updated : Apr 07 2014 | 11:49 PM IST

World's 5th largest specialty generic company

Sun Pharmacueticals and Ranbaxy Laboratories announced that they have entered into definitive agreements pursuant to which Sun Pharma will acquire 100% of Ranbaxy in an all stock transaction.

Under the agreements, Ranbaxy shareholders will receive 0.8 shares of Sun Pharma for each equity share of Ranbaxy.

The exchange ratio represents an implied value of Rs 457 for each Ranbaxy shares.

This will create the fifth largest specialty generics company in the world and the largest pharma company in India. On pro-forma basis, the combined entity's revenue is estimated at US $ 4.2 billion with EBITDA of US $ 1.2 billion for the 12 month period ended 31 December 2013.

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First Published: Apr 07 2014 | 10:02 AM IST

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