Ranbaxy slumps, Sun Pharma surges on $3.2-billion acquisition

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Reuters MUMBAI
Last Updated : Apr 07 2014 | 9:35 AM IST

MUMBAI (Reuters) - Shares in Ranbaxy Laboratories Ltd fell as much as 3.2 percent on profit-taking after Sun Pharmaceutical Industries said it will buy the company in a $3.2 billion all-share deal, creating the world's fifth-largest generic drug maker.

Ranbaxy shares had surged 32.6 percent in six consecutive sessions of gains till Friday's close.

Sun Pharmaceutical shares rose as much as 4 percent.

Under terms of the agreed deal, Ranbaxy shareholders will get 0.8 of a Sun Pharmaceutical share for each Ranbaxy share they own. Daiichi Sankyo said in a statement that it will hold a stake of about 9 percent in Sun Pharmaceutical after the deal.

(Reporting by Abhishek Vishnoi; Editing by Sunil Nair)

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First Published: Apr 07 2014 | 9:30 AM IST

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