Sun Pharmaceutical Industries has rejected Taro Pharmaceutical's counter offer to conduct a referendum of shareholders and offer a price close to $15 per share.
With the Israel Supreme Court's directive to find an out of court settlement ends today, the Court is likely to decide the fate of Sun Pharma's attempts to acquire 64 per cent stake of promoters and other shareholders in Taro. Sun currently owns 36 per cent stake.
"Today marks 30 days since the date of hearing in the Israeli Supreme Court and Sun is yet to receive a single worthwhile proposal from Taro for transaction," said Dilip Sanghvi, chairman and managing director of Sun Pharma in his letter to Barrie Levitt, chairman of Taro's Board.
Taro yesterday said Sun Pharma was unwilling to come to the negotiation table and proposed merger at a price of $15 per share, subject to terms and conditions.
"Your letter of yesterday, sent at the 29th day of the negotiation period, proposing a merger at an 82 per cent premium to market, is clearly just another unfortunate attempt to justify a request to delay a ruling by the court," said Dilip Sanghvi.
He said the proposal is beyond the worth of Taro, which did not disclose audited results for three years.
