"We are open to acquiring more than 50% stake"

What Takashi Shoda, President & CEO, Daiichi Sankyo Company said

Ranbaxy Laboratories will be the Indian counterpart of Daiichi Sankyo. Whatever we do in India will be done through Ranbaxy.

Daiichi Sankyo had keen interest in the Indian pharmaceutical market for a long time. In India, we have only considered Ranbaxy as a prospective partner, for a long time. This is the right to time (for the deal).

The company is open to acquiring more than 50% stake, if the open offer of an additional 20% stake is fully subscribed.

There will be no change in the management. The company will remain listed. Ranbaxy’s name is prestigious and there will be no change in Ranbaxy’s identity.

While both companies will closely cooperate to explore how to fully optimise our growth opportunities, we respect Ranbaxy’s autonomy and it will have an autonomous management.

We have presence in 21 countries but with Ranbaxy as a partner, we will increase our presence to 60 countries.

The combined Daiichi Sankyo and Ranbaxy will now rank at number 15 globally. Daiichi Sankyo alone ranked 22.

Ranbaxy Laboratories CEO and MD Malvinder Singh will continue with his current position and will take the additional role of the chairman of the board (of Ranbaxy upon closure of the deal).

We respect and believe in the management skill of Mr Malvinder Singh. We invite him to be a member of the senior global management of Daiichi Sankyo.

I would also prefer to be on the board of Ranbaxy.

Our mission is to be a global innovator company. The proposed transaction is in line with our goal. It provides the opportunity to complement our strong presence in innovation with a new, strong presence in the fast growing business of non-proprietary pharmaceuticals. Ranbaxy will also allow us to tap the emerging markets.

The complementary combination represents a perfect strategic fit and delivers a considerable opportunity for the future growth of the new Daiichi Sankyo Group.

Our existing ties with Glaxosmithkline Indian arm as a marketing partner for our hypertension drug, Olmesartan Medoxomil in India will continue.

The company is deliberating whether to have separate subsidiaries in India. It is considering leveraging the low cost manufacturing opportunities in India for its global products.

The company will fund the acquisition through debt and cash on hand.