This pharmaceutical stock hit 20% upper circuit today!

This pharmaceutical stock hit 20% upper circuit today!

by 5paisa Research Team Last Updated: Feb 22, 2022, 06:45 PM IST

The share prices jumped from Rs 163.65 on 14 February 2022 to Rs 245.55 today.

Jagsonpal Pharmaceuticals Ltd, a pharmaceutical company based in Haryana, has hit the upper circuit of 20%.

This rally is an aftereffect of an announcement made by the company yesterday. As per this announcement, the company has inked a share purchase agreement (SPA) with Infinity Holdings, an investment company based in Mauritius for the acquisition and sale of 1.14 crore equity shares, constituting 43.73 per cent of the voting share capital of the company.

Apart from this, Infinity Holdings (acquirer) has also made an open offer to acquire additional equity shares of the pharmaceutical company (the target company).

Infinity Holdings Sidecar I and Infinity Consumer Holdings are the two PACs (Persons Acting in Concert) in the deal. Aresko Progressive Private Limited, which is one of the promoters of the target company, is the seller in this transaction.

Along with these two co-acquirers, the acquirer intends to acquire 68.11 lakh equity shares constituting 26% of the voting share capital of the target company.

The Open Offer is made at a price of Rs 235 per Offer Share. Upon full acceptance of the open offer, the total consideration payable by the acquirer under the open offer at the offer price will be Rs 160.06 crore. This payment shall be made in cash.

Upon successful completion of the underlying transition as per the SPA and assuming successful completion of the Open Offer of 26%, the acquirer and the PACs would hold 1.82 crore equity shares representing 69.73% of the voting share capital of the target company.

Looking at the share price movement of Jagsonpal Pharmaceuticals Ltd, the shares of the company have rallied by 50% since last week. The share prices jumped from Rs 163.65 on 14 February 2022 to Rs 245.55 today.

Today, at noon, the share price of the company hit the upper circuit of 20%, which was set at Rs 245.55.

 

Also read: Sanjeev Bikchandani – Story of the man behind India's first internet company

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SENSEX
52,973.84
180.22 (0.34%)
Nifty 50
15,842.30
60.15 (0.38%)
Nifty Bank
33,597.60
476.25 (1.44%)

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