Torrent Pharmaceuticals has emerged as a frontrunner to acquire its rival Cipla with a non-binding offer that’s more than 30 per cent higher than American private equity giant Blackstone’s bid.
According to a source close to the negotiations, while Blackstone offered approximately Rs 900 a share, the Ahmedabad-based pharmaceutical firm has made an all-cash offer at around Rs 1,200 a share, which is close to the current market price of Cipla. Shares of Cipla closed at Rs 1,239 apiece on the BSE on Monday, with a market valuation of Rs 1 trillion.
The Hamied family, the promoter of Cipla, is expected to take a call on Torrent’s offer in two to three weeks, said the source. Spokespersons for Torrent Pharma