Sun Pharmaceuticals approves resolutions for split, buyback

Chennai: The shareholders of Sun Pharmaceuticals have approved the board’s proposal to split the Rs 10 par value share into equity shares of Rs 5 each.

The shareholders also gave their assent for the buyback of equity shares (Rs 10 undivided face value of Rs 5 subdivided) at the company’s extraordinary general meeting held on 20 December 2002.

The buyback is subject to a outgo of Rs 120 crore, or 24.75 per cent of the total equity, plus free reserves at a price not exceeding Rs 750 per share or Rs 375 for a Rs 5 par value share. The maximum shares that the company could buy back are fixed at 2 million (Rs 10 face value) or 4 million in the case of shares with a face value of Rs 5.

According to a company spokesperson, the buyback will be through the open market route and will be made within 12 months. The record date for the share split is fixed as 21 January 2003.