Shares of Natco Pharma surged by over 6% in early trade on the Bombay Stock Exchange today amid media reports that the company may exit from the pharmacy business in the US soon.
Reacting to the buzz, the stock rose by 6.48% to touch a one-month-high of Rs 271.90 on the BSE.
Investors went on a buying spree at the company's counter on the National Stock Exchange as well, where the scrip spurted by 6.22% to a high of Rs 272.
According to reports, the Hyderabad-based company, which currently operates SaveMart Pharmacy in Lancaster, Pennsylvania, US, is actively considering its sale.
Natco plans to exit from the pharmacy business as it now has 'no synergies' with company's business strategy, the report added.
Natco Pharma was the first Indian pharma company to enter into the pharmacy business in the US in 2006 by acquiring a 75% stake in K&C Pharmacy, a general partnership firm based in New Jersey, US, with a retail pharmacy outlet, Nicks' Drugs.
Meanwhile, the BSE benchmark index Sensex was trading higher by 192.70 points at 18,543.44 during the noon trade.
