Upon completion of the merger, Taro will become a privately held company and its shares will no longer be listed on the NYSE.
In this agreement, Sun Pharmaceutical, which owns 78.48% of Taro currently, has agreed to acquire all outstanding ordinary shares of Taro, other than the shares already held by it. The company will acquire the remaining 21.52% outstanding shares of Taro for $43 per share, totaling $347.73 million, or Rs 2,891.76 crore, in a cash deal.
Upon completion of the merger which is expected to close in the first half of 2024, Taro will become a privately held company and its shares will no longer be listed on the NYSE, the companies said.
✔️ Sun Pharmaceutical is an India-based specialty generic pharmaceutical company. The Company is engaged in the business of manufacturing, developing and marketing a wide range of branded and generic formulation and active pharmaceutical ingredients (APIs). Sun Pharma is headquartered in Mumbai, India with manufacturing facilities in various countries.
✔️ Taro Pharmaceutical is a research-based pharmaceutical manufacturer publicly listed in the New York Stock Exchange. Taro currently markets its products in over 20 countries with 300+ registered products mainly in the US ,Israel and Canada and has Key centers in the United States, Canada, and Israel with state-of-the-art facilities.
Notably, in November, the US government dropped charges against a former Taro executive accused of conspiring to manipulate generic drug prices between 2013 and 2015. In particular, Taro was accused of conspiring with pharma company Teva to inflate prices and supplier allocations for medications used to treat rheumatoid arthritis, epilepsy, pain syndrome and diseases of the hematopoietic system and skin. In July 2020, Taro had agreed to pay over $200 million to settle criminal allegations related to price-fixing, amidst a broader Justice Department crackdown on purported pricing misconduct in the generic drug market.
Sources: The Hindu Business Line, Mint
