Moneycontrol Bureau
Claris Lifesciences shares hit a record high of Rs 430.10, up 20 percent intraday Friday after the company sold its injectable business to US healthcare company.
"....has entered into definitive agreements with Baxter International Inc for the sale of its global generic injectables business for a total gross consideration of USD 625 million," the Ahmedabad-based pharma company said in its filing to the exchange.
It has a total of 11 approved products in the US, around 25 ANDAs under review with the FDA and markets its products in more than 75 countries.
Claris Life is expected to complete this sale within 12 months and intends to repatriate a significant majority of the net cash proceeds to the shareholders."Post the assumption of around Rs 100 crore expenses and 15 percent tax the net cash per share available to shareholders comes to Rs 561. We have given cash discount of 20 percent to the value and hence per share value comes to Rs 449," Nirmal Bang said in its research note.The company also has cash on books (including investments) of around Rs 43 per share. Hence, the total value comes to Rs 492, it added.
Contribution from its injectable business was around Rs 623 crore or 78 percent to consolidated revenue in the year ended March 2016.
At 10:41 hours IST, the stock was quoting at Rs 396.55, up Rs 38.10, or 10.63 percent amid high volumes on the BSE.Posted by Sunil Shankar Matkar
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