Shares of Sun Pharma and Ranbaxy surged in trade in Monday after the companies received a nod from the U.S. Federal Trade Commission.
The company today announced that the U.S. Federal Trade Commission (FTC) has completed its review of the proposed acquisition of Ranbaxy by Sun Pharma and has granted early termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 (HSR Act).
The early termination of the waiting period under the HSR Act satisfies one of the essential conditions to the closing of the Ranbaxy acquisition.
Sun Pharma and Ranbaxy also announced that the FTC accepted a proposed consent agreement pursuant to which, Sun Pharma and Ranbaxy have agreed to divest Ranbaxy's interests in generic minocycline tablets and capsules to an external third party, the company said in the BSE filing.
Sun Pharma and Ranbaxy are working closely towards completion of the transaction and will comply with the conditions laid down in the FTC consent agreement within the specified time, added further.
Shares of the Sun Pharma was seen trading at Rs 926 higher by 1.13 per cent at 2.10 on BSE. It touched an intra-day high and touched 52-week high at Rs 942.
Shares of the Ranbaxy was seen trading at Rs 178 higher by 2.18 per cent at 2.10 on BSE. It touched an intra-day high and touched 52-week high at Rs 728.