Ranbaxy is a pharmaceutical company established by Ranjit Singh and Gurbax Singh in the year 1937, as a distributor for Shionogi, a Japanese Company. The company’s name, Ranbaxy, is a portmanteau word from the names of it’s owners Ranjit and Gurbax. Bhai Mohan Singh bought the company from his cousins Ranjit Singh and Gurbax Singh. The company saw a significant transformation in its business and scale after Bhai Mohan Singh’s son Parvinder Singh joined the company. His sons Malvinder Mohan Singh and Shivinder Mohan Singh sold the company another Japanese company in June 2008, thus reaching the place of its origin.
Share capital of RanBaxy: 373,237,870 Equity Shares of Rs. 5/- each.
Listing of Securities
The Equity Shares of the company are listed on the Bombay Stock Exchange Ltd. (Traded in ‘A’ Group) and The National Stock Exchange of India Ltd. (included in Nifty). Global Depository Shares are listed on The Luxembourg Stock Exchange.
On June 11, 2008, Ranbaxy Laboratories Limited, India’s largest pharmaceutical company and Daiichi Sankyo Company Limited, one of the largest pharmaceutical companies in Japan, entered into a binding Share purchase and Share subscription agreement (the “SPSSA”). Daiichi Sankyo will acquire the entire shareholding of the sellers in Ranbaxy and further seek to acquire the majority of the voting capital of Ranbaxy at a price of Rs.737 per share.
Mr. Malvinder Singh will continue to lead the company as its CEO and Managing Director while additionally assuming the position of Chairman of the Board.
Astrological Analysis:
Ranbaxy has Gemini rising ascendent as per Western Astrology. Sun and Moon are in close conjunction. Ganesha observes this position in the Navamsha Chart also. Due to this reason the company had a good beginning and won the support of the public.
The Lord of the Fifth house is posited in the 12th house. This placement of the Lord of the fifth house favours overseas business deals. And it is because of this that Ranbaxy has many branches abroad. The Lord of the 8th house is posited in the 10th house. Due to this placement Ranbaxy manufactures drugs for the ailments related to the nervous system and for lifestyle diseases. Cardiovasculars, Respiratory, Dermatology, Orthopedics, Nutritionals and Urology segments. This clearly indicates that the company has strengthened its presence in the fast-growing chronic and lifestyle disease segments.
What Next?
In the horoscope of Ranbaxy, Jupiter is transiting through the seventh house. Owing to this transit, Ranbaxy received a good offer from ‘Daichi’. This offer has benefited not only the customers but also the subsidiary companies.
Ranbaxy has to be cautious in financial dealings between September 10, 2008 to November 04, 2008. It has to shrug its stubborn attitude in financial dealings. It has to remain flexible in matters of revenue sharing. Saturn transiting in Leo, may create obstacles because of the government in the near future.
Conclusion:
Overall, it is advisable to invest in Ranbaxy for a long term. Short term phase may not be profitable but investors may invest for a long term. If the government does not change its policy on pharmaceuticals then other major pharmaceutical companies may also get sold.
In this way if the government does not pay attention to the development of pharmaceutical sector, then other major pharmaceutical companies may be overtaken by big MNCs.
Short term – Buy with awareness, medium term-buy according to the average price, and long term buying suggested.
With Ganesha’s Grace,
Dharmeshh Joshi,
www.GaneshaSpeaks.com