It is learnt that GlaxoSmithKline (GSK) is in talks to pick up a 5% stake in Dr Reddy`s Laboratories (DRL) in order to strengthen its association with the Dr Reddy`s with whom it had signed a marketing alliance four months ago, reports Economic Times.
It is believed that the deal may be priced around USD 150 million and could be clinched in two months, if talks stay on track.
The lines of the discussion suggest that the foreign company (GSK) may acquire fresh shares of DRL, which will impact the promoters shareholding marginally, and it may reserve the right of first refusal should the promoters decide to sell their stake in future.
The Reddy family, the promoters, holds a 26% stake. (My Iris)