Shares of Merck continued their northward movement, hitting new high of Rs 2,666 per share, up 8% on the BSE in early morning trade. Thus far in the calendar year 2018, the stock of the pharmaceutical company has zoomed 107% from Rs 1,289, as compared to 4% rise in the S&P BSE Sensex.
Since April 19, 2018, Merck has soared 77% from Rs 1,510, after the Procter & Gamble Overseas India made mandatory open offer to acquire 26% stake in the company at price of Rs 1,500.36 per share. The offer opened on June 13, 2018 and will close on June 26, 2018.
“The company’s ultimate holding company Merck KGaA has made certain strategic announcements in respect of its global consumer healthcare business (including its operations in India and entering into agreements in relation thereto) and has entered into agreement for sale by Merck group entities of majority equity stake in the Company to Procter & Gamble Overseas India B.V., who in turn has made a public announcement of open offer to acquire upto 26% of the total outstanding capital of the company,” Merck said on May 31, on clarification with reference to increase in volume.
The board of directors of the company has taken the decision subject to shareholder’s approval (which has been sought by way of postal ballot notice dated April 27, 2018), to enter into agreement to transfer its non-consumer health business to Merck Group in India and certain other agreements to ensure business continuity, it added.
Merck was trading 6% higher at Rs 2,603 on the BSE, as compared to 0.2% rise in the S&P BSE Sensex. A combined 102,789 equity shares changed hands on the counter on the NSE and BSE so far.
Investment & trading in securities market is always subjected to market risks, past performance is not a guarantee of future performance.
CapitalStars Investment Adviser: SEBI Registration Number: INA000001647
Our Some Best Services Read it Here…