Divis Labs surges 10%, hits record high in Monday's session; here's why

Merck & Co's Covid-19 antiviral pill, Molnupiravir, reduced the risk of hospitalisation or death by 50 per cent

Shares of Divi’s Laboratories hit a record high of Rs 5,313.80 on the BSE on Monday as they rallied 10 per cent in the intra-day trade. The stock of the pharmaceutical company surpassed its previous high of Rs 5,269, hit on September 1, 2021. At 10:28 am, it was trading 9 per cent higher at Rs 5,270 on the BSE as compared to a 1.17 per cent rise in the S&P BSE Sensex.

Investors rushed to buy shares of the company after US-based Merck and Ridgeback Biotherapeutics announced that their investigational oral antiviral medicine Molnupiravir has significantly reduced the risk