SEBI orders close scrutiny of AstraZeneca India delisting

Suspecting violation of norms to check fraudulent and unfair trades, Securities and Exchange Board of India (SEBI) on Tuesday ordered close monitoring of a proposed delisting of Indian unit of global pharma giant AstraZeneca. The capital markets regulator also said there appeared to have been a coordinated and concerted attempt by the Swedish promoters of AstraZeneca Pharma India and a Hong Kong-based fund house Elliott Group during a previous offer for sale of the company’s shares. Second case This is the second case within a month where a Hong Kong-based fund has come under scanner for suspected foul play in an offer for sale (OFS) through use of participatory notes (P-Notes) and sub-accounts. While SEBI is still continuing its probe into the matter, the regulator passed a seven-page late night order asking BSE and NSE to “closely monitor the entire delisting process of AstraZeneca Pharma India Limited and allow the final delisting of its shares only after satisfying themselves that the process has been fair and transparent”. The two stock exchanges have also been asked to promptly report any aberrations noticed in the delisting process, while the promoters of the company would be able to finally purchase the shares from public shareholders only after seeking approval from the BSE and the NSE. — PTI