Ranbaxy says no plans to sell stake, issue ADRs

New Delhi, Feb 21 (UNI) Generic drug maker Ranbaxy Laboratories Ltd today clarified its promotors were not intent on selling any stake or issue American Depository Reciepts (ADRs) to finance the possible part-acquisition of US-based pharmaceutical giant Merck.

''They (founders) strongly deny any plan or move on their part to sell any portion of their equity stakes in the company to any private equity firm or to any others,'' Ranxbaxy said in a statement.

The clarification came after a leading newspaper reported the drug maker was in negotiations with private equity firms to raise funds and may include 6-7 per cent stake sale by Ranbaxy's founders, quoting an unidentified company official.

Ranbaxy stated the report was ''completely untrue and misleading'' but did not comment on reported plans to sell its manufacturing facility in Ireland to raise 40-50 million dollars for the take over.

The daily also said Nicholas Piramal India Ltd, Granules India Ltd and Shasun Chemicals and Drugs Ltd were in the race to buy Ranbaxy's unit in Ireland.

Ranbaxy last month said it was interested in Merck's generic operations.

UNI