Financial Services, Industry, Latvia, Medicine

International Internet Magazine. Baltic States news & analytics Thursday, 17.10.2019, 08:51

Share price of Grindex pharmaceutical company up 40.13% on Monday

BC, Riga, 15.04.2019.Print version
Share price of Latvia’s Grindex pharmaceutical company on Monday skyrocketed 40.13 percent, according to the Riga bourse

Grindex shares rose from EUR 7.85 to EUR 11 as 67,248 of the company’s shares changed hands in 255 trades worth EUR 744,585.


Grindex informed the Riga bourse that today it has received the information from its shareholders Kirovs Lipmans, Anna Lipmane and Filips Lipmans that according to the agreement signed with the Financial and Capital Market Commission on April 10, 2019, currently the proposal for the mandatory redemption of shares is being prepared.


It will be announced by August 31, 2019, and will not be lower than the price calculated dividing net assets of the target company by the number of the shares issued, on the basis of the data of the consolidated annual report of Grindex of 2017, approved at the shareholders meeting.


The Finance Captical and Market Commission (FCMC) has entered into an administrative agreement with Grindex shareholders, applying a fine and agreeing on mandatory share buyout offer.


FCMC has imposed a fine of EUR 131,250 on the shareholders of Grindex, Kirovs Lipmans and Filips Lipmans, for a breach of the Law on the Financial Instruments Market and agreed with the shareholders on making a mandatory share buyout offer by the end of August this year.


Within the administrative case the FCMC found out that Kirovs Lipmans and Filips Lipmans had not fulfilled the obligation laid down in Article 66 of the Law, i.e. to make the mandatory share buyout offer to other shareholders of Grindex. Considering the infringement identified the FCMC agreed with Kirovs Lipmans and Filips Lipmans on signing the administrative agreement, applying the fine of EUR 131,250 to both shareholders.


Under the administrative agreement Kirovs Lipmans and Filips Lipmans have committed to make the mandatory share buyout offer by the end of August 2019. A period of several months has been set taking into account the need to find financial means for making the mandatory share buyout offer. According to the administrative agreement the price of a share in the mandatory share buyout may not be lower than the price calculated on the basis of the data of the consolidated annual report for 2017 of Grindex approved at the shareholders meeting, dividing net assets of the target company by the number of the shares issued.


The FCMC will monitor whether Kirovs Lipmans and Filips Lipmans fulfil the contractual commitments within the relevant period and to the appropriate extent.






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