Caplin Point Lab hits 11-week high; stock surges 14%

The stock rallied 14% to Rs 430, trading at its highest level since November 16, 2018 on the BSE.

Shares of Caplin Point Laboratories surged to its 11-week high price of Rs 430, up 14 per cent on the BSE on Friday.  The stock was trading at its highest level since November 16, 2018.

The pharmaceutical company today announced that the meeting of board of directors of the company is scheduled to be held next Friday, January 18, 2019, to consider and approve the investment by a global financial investor with strong healthcare experience in the wholly-owned subsidiary company, Caplin Steriles.

In a separate regulatory filing, Caplin Point Lab said that its board has approved the business transfer agreement to be entered into with Caplin Steriles for transfer of business undertaking of the Company (regulated markets injectable business, including US FDA approved injectable plant and DSIR recognized R&D Units CP4 and CPS) by way of slump sale on a going concern basis.

At 02:53 pm, Caplin Point Lab was trading 10 per cent higher at Rs 415 on the BSE. On comparison, the S&P BSE Sensex was down 0.29 per cent or 103 points at 36,004. The trading volumes on the counter risen an over 10-fold with a combined 320,662 equity shares changed hands on the NSE and BSE so far.

In past four months, the stock has underperformed the market by falling 28 per cent, against a 3.5 per cent decline in the benchmark index till Thursday.