It's funny how two people can read the same announcement and have very different takes on it, @Jimmy .
My reading of today's announcement wasn't that the Board had rejected PEP's offer. At best it sounds to me like they were yelling "you can't break up for with me, because I break up with you" at PEP, who had already moved out and were halfway down the street.
Yesterday's announcement disclosed PEP had withdrawn their offer but were working on a new option at the same consideration, "even if not all upfront". Putting aside the ambiguity of that last statement, it reads like a Board who are keen to do a deal.
To come back just a day later and say PEP hadn't put forward an alternative deal and, therefore, no deal would be done, makes it feel like continuous disclosure rules have made a toe-in-the-water tentative discussion sound more advanced than it probably was. It's not necessarily all the Board's fault and is probably a result of dealing with private equity who don't have the same statutory requirements to adhere to, but it does seem quite messy.
I don't really have a view of RDY's fundamental outlook though. It is on one of my watchlists and is now back to a level similar to where it was trading at prior to the PEP 'offer' so maybe it does represent value now.