 "Cipla offers to buy majority stake in S.Africa's Cipla Medpro")
Indian drugs maker Cipla has offered to buy a about a 51% stake in South Africa’s Cipla Medpro, to strengthen its position in the fast-growing African drugs market.
The Indian firm has offered 8.55 rand per share, Cipla Medpro said in a statement on Wednesday. The price represents an 11% premium on Cipla Medpro’s closing share price on Tuesday. That makes the deal worth around $220 million.
Shares of Cipla Medpro, South Africa’s No.3 drug maker, surged 8.58% to 8.35 rand on the news.
[caption id=“attachment_530550” align=“alignleft” width=“380”]  Cipla supplies the bulk of Cipla Medpro’s drugs through a longstanding supply agreement. Reuters[/caption]
Cipla supplies the bulk of Cipla Medpro’s drugs through a longstanding supply agreement. However, the two have never had a capital alliance.
The agreement was spearheaded by Cipla Medpro’s founder and former chief executive, Jerome Smith, who quit last month following charges of “gross misconduct” for approving pay rises and bonuses for himself with board approval.
There had been some speculation in the market that Smith’s departure could impact Cipla Medpro’s relationship with the Indian company.
Reuters
 "Israel targets top Hamas leaders in Doha; Qatar, Iran condemn strike as violation of sovereignty")
 "Nepal: Oli to continue until new PM is sworn in, nation on edge as all branches of govt torched")
 "Who is CP Radhakrishnan, India's next vice-president?")
 "Israel informed US ahead of strikes on Hamas leaders in Doha, says White House")
 "Israel targets top Hamas leaders in Doha; Qatar, Iran condemn strike as violation of sovereignty")
 "Nepal: Oli to continue until new PM is sworn in, nation on edge as all branches of govt torched")
 "Who is CP Radhakrishnan, India's next vice-president?")
 "Israel informed US ahead of strikes on Hamas leaders in Doha, says White House")
](https://images.firstpost.com/wp-content/uploads/2012/11/drugs-agencies1.jpg){kind=link}