US FDA ban on Sun Pharma unit lifted after over 3 years

Sun's stock rose 6.8 %, before closing up 3.6 % at Rs 708.25

India’s largest drugmaker Sun Pharmaceuticals has informed the exchanges the US Food and Drug Administration (FDA) has said it would remove more than three-year-old import sanctions on its Mohali plant. 

The FDA’s intimation for removal of the plant from the “official action initiated” status will clear the path for Sun Pharma to supply approved drugs from the plant, subject to normal regulatory requirements.

Sun Pharma acquired the Mohali plant as part of its $4.1-billion purchase of Ranbaxy in 2015. Two other erstwhile Ranbaxy plants at Paonta Sahib in Himachal Pradesh and Dewas in Madhya Pradesh remain under an FDA import