Mark Mobius won't tender Taro shares at $7.75/sh
08 Sep 2010
The Supreme Court of Israel has ruled in favour of Sun Pharma and has lifted its temporary order that prohibited the closing of the offer to Taro prior to its ruling.
But a disappointed Mark Mobius Chairman of Templeton Asset Management Company, who owns 10% in Taro, said he would not tender shares at $7.75. ''We haven't decided on a price for tendering the company's shares and nor have we discussed the matter with Sun Pharma. It is important to have audited numbers of Taro,'' he said.
However he strongly feels that ownership of Taro should change hands.
Below is a verbatim transcript of his interview with CNBC-TV18's Reema Tendulkar and Ekta Batra. Also watch the accompanying video.
Can you just begin by telling us your view on exactly all the developments, which have taken place, regarding Sun Pharma and Israeli Court ruling which is in favour of Sun Pharma?
As you know the court ruling in New York was predecessor to this ruling in India. In New York, they ruled against the Taro controllers in favour of Sun. Now, the courts in Israel have unanimously voted in favour of Sun. So, I think it is pretty clear that ownership should change hands, but the story may not be over. There may be some other developments, which we cannot predict at this stage. So, we just have to watch and see and hope for the best. But it looks now we are now entering in the end of this saga.
What are the other developments, which you spoke about currently, which could probably hamper Sun Pharma's acquisition of Taro at this point?
Other developments that take place could include any kind of other legal action and other aspects on the part of Taro's management to delay the transfer of ownership.
