Pharma major Ranbaxy Laboratories witnessed a jump in its share price today on institutional and fund-based buying.
On the Bombay Stock Exchange (BSE) the stock hit a high of Rs 933.45 and settled up 0.44 per cent at Rs 921.75. The stock had closed at Rs 833.90 on Wednesday. More than 2.03 lakh shares traded on the counter.
On the National Stock Exchange, 5.02 lakh shares changed hands. Dealers said that an US-based foreign fund was active on the counter.
Analyst add that the current uptrend on the Ranbaxy counter is attributed to buying for bonus. The scrip currently trades at a cum-bonus of 3:5 and it would become ex-bonus from October 1. This was the sixth time that the company had issued bonus to shareholders. The last time the company declared a bonus issue was in 1998, in the ratio of 1:1.
Meanwhile, Ranbaxy Laboratories announced that it had entered into a marketing alliance with Japanese drugmaker Nippon Chemiphar and would buy a stake in Chemiphar's subsidiary.
Ranbaxy said in a statement that it had agreed to buy a 10 per cent in Nihon Pharmaceutical Industry from Chemiphar.
It did not say how much it would pay for the stake. Ranbaxy said Nihon would also be part of the marketing pact and the three companies would collaborate to sell Ranbaxy's generic drugs in Japan and to make and sell drugs from Nihon and Chemiphar in other markets. Nihon Pharmaceuticals is the generics arm of Nippon Chemiphar.
