Cadila Healthcare gets stronger after board approves fund raising

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Capital Market
Last Updated : Jun 28 2017 | 12:01 AM IST

Cadila Healthcare gained 0.83% to Rs 529.45 at 10:10 IST on BSE after the company said that its board approved in-principle to raise funds through various routes.

The announcement was made on Monday, 26 June 2017. The market was shut on Monday, 26 June 2017, on account of holiday.

Meanwhile, the S&P BSE Sensex was down 69.45 points, or 0.22% to 31,072.69.

On the BSE, 34,702 shares were traded in the counter so far, compared with average daily volumes of 1.54 lakh shares in the past one quarter. The stock had hit a high of Rs 535.35 and a low of Rs 527.45 so far during the day. The stock had hit a record high of Rs 558 on 12 June 2017. The stock had hit a 52-week low of Rs 305.05 on 24 June 2016.

The stock had outperformed the market over the past one month till 23 June 2017, gaining 19.03% compared with 2.55% rise in the Sensex. The scrip had also outperformed the market in past one quarter, gaining 17.5% as against Sensex's 6.16% gains. The scrip had also outperformed the market in past one year, jumping 66.83% as against Sensex's 15.32% gains.

The large-cap company has equity capital of Rs 102.37 crore. Face value per share is Re 1.

Cadila Healthcare said that its board approved in-principle to raise funds by issue of equity shares/ convertible bonds/debentures through qualified institutional placement (QIP)/ global depository receipts (GDR)/American depository receipts (ADR), for an aggregate amount up to Rs 10000 crore.

The board also approved to issue secured/unsecured redeemable non-convertible debentures/foreign currency bonds on private placement basis for an amount up to Rs 3500 crore in the financial year 20172018. Further, the board also approved to issue foreign currency bond/foreign currency convertible bonds for an amount up to Rs 5000.

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Separately, Cadila Healthcare announced that it has received final approval from the United States Food & Drug Administration (USFDA) to market Entecavir Tablets in the strengths of 0.5 mg and 1 mg. The announcement was made during market hours today, 27 June 2017.

The drug is used in the treatment of Hepatitis B virus infection and will be produced at the group's formulations manufacturing facility at the Pharma special economic zone (SEZ) in Ahmedabad. The estimated sale of Entecavir Tablets in US is $166.3 million as per the IMS MAT April 2017.

Cadila Healthcare's consolidated net profit fell 32.2% to Rs 385.5 crore on 6.5% rise in net sales to Rs 2417.50 crore in Q4 March 2017 over Q4 March 2016.

Cadila Healthcare is an innovative, global pharmaceutical company that discovers, develops, manufactures and markets a broad range of healthcare therapies.

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First Published: Jun 27 2017 | 10:26 AM IST

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