Ipca to make open offer for 26% stake in Krebs on 9 November

Ipca Laboratories will make an open offer to acquire 26-per cent additional stake in Hyderabad-based Krebs Biochemicals on 9 November.

The offer will close on 24 November, Ipca Laboratories said in a filing to the BSE.

Arihant Capital Markets Limited manager to the issue, has submitted to the exchange a copy of the corrigendum to the DPS on behalf of Ipca Laboratories Limited in respect of the open offer to the equity shareholders of the company pursuant to and in compliance with the Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011 and amendments thereto (SEBI SAST Regulations).

IPCA is making an open offer to acquire 26-per cent stake, consisting of 35,73,515 equity shares of Rs10 each, at a price of Rs54 per share, for a total consideration of Rs19.29 crore, it added.

Mumbai-based Ipca had acquired 18,00,000 equity shares in Krebs Biochemicals and Industries in February this year and entered into an MoU with the promoters of the latter envisaging acquisition of joint control of the management.

It currently holds 31.38 per cent of the current paid-up share capital of Krebs. The control will help Ipca consolidate its position.

Krebs has expertise in chemical synthesis, fermentation and enzymatic technologies. Besides, it also has two US Food and Drug Administration (USFDA) approved facilities in Visakhapatnam and Nellore districts.