After hearing the arguments from the counsels of the petitioners, Ranbaxy, Sun Pharma and SEBI, Justice G Chandraiah said he will pronounce the verdict tomorrow.
The petitioners alleged that there was heavy trading of Ranbaxy stock before the merger with Sun Pharma was announced on April 6, and requested the court to direct the SEBI to investigate the insider trading of Ranbaxy shares and take appropriate action against Sun Pharma and Silver Street Developers.
The court had earlier issued interim orders to maintain status quo with regard to the merger.
During the arguments, Y Suryanarana counsel of SEBI informed the court that an investigation is currently going on into the allegations of insider trading allegations.
Counsel for SEBI also said that the bourses are yet to forward their opinion on the merger or amalgamation issue to the market regulator.
D Prakash Reddy, senior counsel who argued for Ranbaxy said insider trading allegations and merger process are two different issues and hence be dealt with separately and cannot be mixed.
B Adinarayana Rao, counsel for Sun Pharma said the SEBI will investigate allegations of insider trading with regard to the persons involved with that and either Ranbaxy or Sun Pharma as companies have nothing to do with insider trading.
Sun Pharma Counsel also informed the court that merger or amalgamation process involves lengthy processes. The High Courts of Gujarat and Punjab and Haryana will issue public notices when both the companies approach for court approval.