Searle to Acquire SIV, SVPL for Rs. 7.25 Billion

The Searle Company Limited (PSX: SEARL) has decided to acquire a 100 percent stake in two of its associated companies i.e. Searle IV Solutions (Private) Limited (SIV) and Stellar Ventures (Private) Limited (SVPL), respectively, for an aggregate amount of Rs. 7.25 billion. In a stock filing, SEARL said it will acquire 5,400,000 ordinary shares of SIV from IBL Operations (Private) Limited for Rs. 3.5 billion, while separately 12,100,000 shares of SVPL from Universal Ventures (Private) Limited for Rs. 3.75 billion. Additionally, shareholders have also decided to increase SEARL’s authorized share capital from Rs. 6 billion divided into 600 million ordinary shares of Rs. 10 each to Rs. 7 billion divided into 700 million ordinary shares of Rs. 10 each. This will be accomplished through the issuance of 100 million new ordinary shares of Rs. 10 each, which rank equally with the company’s existing ordinary shares in all respects. The Company is principally engaged in the manufacture of pharmaceuticals and other consumer products. International Brands (Private) Limited is the Parent Company, which holds 56.32 percent shareholding in the Company. SEARL’s scrip at the bourse closed at Rs. 46.5, down 1.13 percent or Rs. 0.53 with a turnover of 2,391,992 shares on Thursday.