Torrent Pharma scripts gains on German buy

DALAL STREET SPIKES

Torrent Pharma witnessed volatile trading even as the company announced about an overseas acquisition. The counter was among the few gainers in intra-day trades before slipping on profit booking across the board.

The stock slipped from its day's high of Rs 544 to finally close 1.8 per cent lower at Rs 496.50. More than 46 thousand shares were traded on the BSE.

According to reports, Torrent Pharma has acquired Heumann Pharma Generics of Germany for an undisclosed amount. Torrent Pharma expects to complete this acquisition by August 5. The acquisition should enable the company to make its mark into the highly competitive generics market in Europe.

Heumann Pharma ranks 11th in the German generics market with sales of around 50 million euros (roughly Rs 300 crore). It has 315 marketing authorisations and 34 product registration applications.

Germany is one of the largest generics market in Europe and the world, with an almost 50 per cent generic penetration. The stock has gone up steadily from Rs 426.55 to Tuesday's close of Rs 496.50.