 "Dr Reddy's Lab cracks over 10% on USFDA warning")
Shares of drug maker Dr Reddy’s Lab has cracked 9% to Rs 3,880 on the BSE after the company received a warning letter issued by the USFDA dated November 5 pertaining to its API manufacturing facilities situated at Srikakulam in Andhra Pradesh and Miryalaguda in Tamil Nadu and also at its Oncology formulation manufacturing facility located in Duvvada in Andhra Pradesh.
The action is followed by the previous inspections held by the agency in the month of November 2014, January 2015 and February 2015 respectively.
Earlier, Dr Reddy's Laboratories posted better than expected Q2 results . The profit grew by 25.8 percent year-on-year to Rs 722 crore, driven by strong operational performance and robust growth in US, Europe and India businesses.
The stock opened at Rs 4,255 and touched a low of Rs 3,850 on the BSE. A total of 56,475 shares have changed hands on the BSE so far.