IPCA Labs drops after warning letter from USFDA

The USFDA has issued warning letter for Ratlam, SEZ Indore and Piparia units

Shares of IPCA Laboratories were down nearly 5% at Rs 638 on the Bombay Stock Exchange after the company said that it has received an warning letter from the US Food & Drug Administration for its manufacturing units located at Ratlam (Madhya Pradesh), SEZ Indore (Pithampur) and Piparia (Silvassa).

During inspections of these manufacturing units received certain observations in Form 483 and which subsequently resulted in issuance of import alert on these manufacturing units, the company said in a release.

The stock opened at Rs 665 and touched a low of Rs 560. At 12:45pm, over 1.41 million shares were traded on both the stock exchanges.