Description

Open offer by Shankarappa Nagaraja Vinaya Babu to acquire up to 26% stake in Pharmaids Pharmaceuticals Limited at ₹62.15 per share.

Summary

Shankarappa Nagaraja Vinaya Babu, along with Person Acting in Concert (PAC) Tumkur Trade Center Private Limited, has made an open offer to acquire up to 91,69,632 equity shares (26% stake) of Pharmaids Pharmaceuticals Limited at ₹62.15 per share. This mandatory offer is being made pursuant to SEBI (SAST) Regulations, 2011 following an underlying transaction.

Key Points

  • Offer to acquire 91,69,632 equity shares representing 26% of total voting share capital
  • Offer price: ₹62.15 per equity share of face value ₹10 each
  • Target Company: Pharmaids Pharmaceuticals Limited (CIN: L52520KA1989PLC173979)
  • Acquirer: Shankarappa Nagaraja Vinaya Babu from Tumkur, Karnataka
  • PAC: Tumkur Trade Center Private Limited
  • Open offer is not conditional upon minimum acceptance level
  • No competing offer exists as of the date of this offer
  • Current marketable lot is 1 share

Regulatory Changes

This open offer is made in compliance with Regulations 3(1) and 4 of SEBI (SAST) Regulations, 2011, triggered by an underlying share purchase agreement (SPA).

Compliance Requirements

  • Public shareholders must respond to the offer through proper tendering process
  • Form of Acceptance-cum-Acknowledgement must be submitted if accepting the offer
  • If shares were recently sold, the Letter of Offer should be handed over to the purchaser
  • All statutory approvals (if any become applicable) must be received before offer completion

Important Dates

  • Offer shares calculation basis: Tenth working day from closure of tendering period
  • Specific tendering period dates to be announced separately
  • All competing offers (if any) will open and close on the same date

Impact Assessment

High impact on Pharmaids Pharmaceuticals shareholders as this represents a significant ownership change. The mandatory open offer provides exit opportunity for public shareholders at ₹62.15 per share. The acquisition may lead to change in management control and business strategy of the pharmaceutical company.

Impact Justification

Major takeover offer affecting 26% of company shares with mandatory regulatory disclosure