Welcure Drugs & Pharmaceuticals on Monday said its board has considered Singapore-based Telexcell Trade Pte’s proposal to buy up to 25 per cent stake in the company while noting that it will be welcomed as an investor only, without control rights.
The drug company said its board has considered the Singapore-based company’s proposal to acquire up to 25 per cent stake at Rs 20 per share, which reflects a resounding validation of its intrinsic value.
“Telexcell initially expressed interest not only in acquiring a significant shareholding but also sought a level of influence in the management and decision-making of the company. The board has unanimously rejected any such demand,” the company said in a statement.
The board has specified that Telexcell may pursue its proposed stake acquisition only through secondary transactions such as bulk deals that impose no liability on Welcure and no dilution of existing shareholder value, it added.
In recognition of Telexcell’s strategic interest and premium valuation, the board has resolved that should the company require fresh capital in the future, Telexcell will be accorded first priority as a preferred partner, subject to all regulatory approvals, Welcure said.
