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Indoco Remedies tumbles as UK-MHRA issues observations

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Capital Market
Last Updated : Mar 28 2018 | 9:50 AM IST

Indoco Remedies lost 8.89% to Rs 221.50 at 09:25 IST on BSE after the company got seven observations for drug manufacturing Plant I, Goa from UK-MHRA.

The announcement was made after market hours yesterday, 27 March 2018.

Meanwhile, the S&P BSE Sensex was down 145.43 points, or 0.44% to 33,028.96. The S&P BSE Small-Cap index was down 94.59 points, or 0.55% to 17,058.34.

On the BSE, 22,000 shares were traded in the counter so far compared with average daily volumes of 35,000 shares in the past two weeks. The stock had hit a high of Rs 232.30 and a low of Rs 218.55 so far during the day. The stock hit a 52-week high of Rs 317 on 24 January 2018. The stock hit a 52-week low of Rs 179 on 31 May 2017.

The small-cap company has equity capital of Rs 18.43 crore. Face value per share is Rs 2.

Indoco Remedies said that United Kingdom - The Medicines and Healthcare Products Regulatory Agency (UK-MHRA) inspected the company's drug manufacturing facility Plant I, Goa from 14 March 2018 to 16 March 2018. Subsequent to the inspection, the UK-MHRA issued observations, which include 3 critical and 4 major. Goa Plant I manufactures solid dosages, liquid orals and external preparations.

The company is committed to its philosophy of highest quality in manufacturing, operations, systems integrity & cGMP culture, Indoco Remedies said. The company is fully committed in resolving the issue and will respond to UK - MHRA at the earliest within the stipulated time, it added.

Indoco Remedies' net profit rose 28.82% to Rs 22.66 crore on 0.73% rise in net sales to Rs 274.19 crore in Q3 December 2017 over Q3 December 2016.

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Indoco Remedies is a fully integrated, research-oriented pharma company engaged in the manufacturing and marketing of formulations (finished dosage forms) and Active Pharmaceutical Ingredients (APIs).

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First Published: Mar 28 2018 | 9:26 AM IST

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