Marksans Pharma tanks over 15% on heavy volumes

Since January 12, the stock plunged 33% after the media report suggests that the company's Goa plant get notification of deficiency in GMP from UK MHRA.

Shares of Marksans Pharma tanked 19% to Rs 63 on the BSE on back of heavy volumes.

Till 11:35 a.m. a combined 21.49 million equity shares or 5.25% of total equity of pharmaceuticals firm changed hands on the counter as compared to an average 7.3 million shares that were traded daily in past two weeks on the BSE and NSE.

Since January 12, 2016, the stock plunged 33% from Rs 94.70 after the media report suggests that the company’s Goa plant get notification of deficiency in goods manufacturing practices (GMP) from UK Medicines and Healthcare products Regulatory Agency (MHRA).

On clarification on news report, Marksans Pharma said that "UK MHRA has conducted a GMP inspection of the company's plant at Goa in the month of November 2015. Pursuant to the inspection, UK MHRA has issued certain observations which company has responded to.

The company is awaiting further response from UK MHRA in this matter as on date, it added.

Meanwhile, the Goa plant is functioning normally and the shipments to UK is continuing in the normal course of business, the company said. 

Marksans Pharma is engaged in research, manufacturing & marketing of generic pharmaceutical formulation in the global markets. The company’s Europe & UK formulations business accounted 52% of its total revenues in first half of the current financial year 2015-16.

At 11.37 a.m. the stock was down 17% at Rs 64.30 against 0.03% rise in the S&P BSE Sensex.