Matrix Labs hits upper circuit on delisting plans

MUMBAI: Shares of Matrix Laboratories were in the limelight after its parent Mylan Inc said it plans to acquire the remaining 29 per cent in the Indian subsidiary.

The US-based firm plans to acquire the remaining 45 million shares for Rs 150 each, 27 per cent above Matrix's closing share price on March 26, the last trading day before the announcement, and delist the company's shares from the Indian bourses.

Mylan, which already owns 71.2 percent of Matrix, said buying the remainder and delisting the company from Indian stock exchanges would give it more flexibility and efficiencies.

The delisting from the Bombay Stock Exchange and the National Stock Exchange of India is expected to take about 12 weeks, subject to obtaining regulatory approvals.

Earlier this month, Matrix received tentative approval from the US Food and Drug Administration for its generic version of Abbott Laboratories Inc's Kaletra HIV tablets.

At 10:20 am, the company's shares surged to hit its upper circuit limit of Rs 141.40, up 20 per cent on the BSE.