Pfizer may revise open offer price as stock gains 33%

MUMBAI: The success of Pfizer���s open offer for Pfizer India appears to be bleak, with the stock price of the Indian subsidiary quoting higher than the offer price. This has kicked in speculation that the global pharma major may revise its offer price in order to make it a success.

Priced at Rs 675 a share, the open offer is aimed at raising Pfizer���s stake in Pfizer India by 34% to 75%. The offer was priced at an 8% premium when it was announced on April 13. Since then, the stock has gone up by 33%. It marginally gained to close at Rs 828.85 on the BSE on Thursday.

A merchant banker, who is tracking the pharma industry, said the company could revise its offer as Novartis did two weeks ago. He said an announcement to this effect is likely next week. The offer opened on June 10 and is scheduled to close on June 29. When contacted, a Pfizer spokesperson said, ���Pfizer���s offer remains at the same price that was announced on April 13.���

FIs hold a 25.51% stake in Pfizer India, making their participation in the open offer crucial for its success. LIC is the largest institutional investor with a 14.38% stake. Other prominent shareholders include Reliance Capital (2.45%) and UTI (2.09%).