Sun Pharmaceutical Industries on Wednesday announced that one of the wholly-owned subsidiaries of Taro Pharmaceutical Industries Ltd is going to acquire Aquinox Pharmaceuticals (Canada) Inc for $8.2 million.
Taro Pharmaceutical is a US-based subsidiary of Sun Pharmaceutical.
“One of the wholly owned subsidiaries of our subsidiary company, Taro Pharmaceutical Industries Ltd., has agreed to acquire by way of purchase of all outstanding shares of Aquinox Pharmaceuticals (Canada) Inc.,” Sun Pharma said in a regulatory filing.
“Aquinox Pharmaceuticals (Canada) Inc., a corporation organized and existing under the laws of the Province of British Columbia that carries on the business of research and development of pharmaceutical products for purposes of their commercialization,” it added.
The subsidiary of Taro Pharmaceutical will acquire 100 per cent stake in the company. The company said that no approvals are required for the acquisition and it is likely to be completed by July 31.
Aquinox Pharmaceuticals (Canada) Inc. is an independent company and the promoter or promoter group or group companies of Sun Pharmaceutical Industries Limited have no interest in the Target, so the acquisition would not fall within related party transaction(s), the filing said.
In August 2019, its parent company, Aquinox Pharmaceuticals, Inc. (previously, NASDAQ: AQXP) merged with Neoleukin Therapeutics, Inc. Prior to its merger with Neoleukin, Aquinox was a pharmaceutical company discovering and developing novel therapeutics for conditions marked by inflammation, inflammatory pain, and blood cancers.
Sun Pharma shares surged on Wednesday on the back of the announcement. At 1.46 p.m., its shares on the BSE were trading at Rs 489.80, higher by Rs 7.30 or 1.51 per cent from its previous close.