Sun exercises option as Taro meeting put back
India's Sun Pharmaceutical Industries will inject an additional $18 million into Taro. The shareholders'' meeting is postponed to September.
Gitit Pincas 23 Jul 07 09:42
At 10:00 this morning the special Taro Pharmaceutical Industries Ltd. (Pink Sheets: TAROF.PK) shareholders' meeting was due to have taken place to approve the merger with Sun Pharmaceutical Industries Ltd. (NSE: SUNPHARMA, BSE: 524715) of India.
However, at the last minute, the meeting was postponed. The reason, according to Taro's lawyer David Shapira of the Yigal Arnon & Co. firm, is that there was great confusion in the market, and the number of shareholders who failed to vote electronically 48 hours before he meeting was too high. "Only yesterday were the court rulings on the matter received, there was a great deal of confusion, and we thought that we should do it right and postpone." The new date for the meeting is September 25.
And what about cash in the meantime? Shapira says that Sun has exercised part of its 3-year option, and will inject $18 million into Taro immediately.
Published by Globes [online], Israel business news - www.globes.co.il - on July 23, 2007
