Novartis AG Novartis AG announced today a tender offer to acquire an additional stake of up to approximately 39 per cent in its majority-owned Indian subsidiary, Novartis India Ltd., from public shareholders at a price of Rs 351 per share. At present Novartis AG has a controlling equity stake of 50.9 per cent in its Indian arm. The offer is likely to open in May 2009.

Successful completion of this offer (assuming full acceptance) would raise the stake of Novartis in its Indian subsidiary to nearly 90 per cent. The offer represents a total value of up to Rs 440 crore (or approximately USD 87 million).

The offer by Novartis AG has been made at a premium of 27 per cent to the closing share price of Rs 275.6 of Novartis India Ltd. on March 24, which was the last trading day before this announcement. It also represents a premium of 35 per cent over Novartis India's average share price during the last month.