Ranbaxy dispels sector gloom, gains

DALAL STREET SPIKES

Defying the bearish trend among the pharma stocks, domestic pharma major Ranbaxy ended with marginal gains following the company's announcement that it has received a USFDA approval for a new drug.

The stock in intra-day trades gained over 1 per cent before closing at Rs 878.15, up 0.02 per cent from its previous close. The counter witnessed volumes of 4.01 lakh shares at the BSE.

The stock, however, has been at the receiving end following aggressive selling after a leading foreign broking firm downgraded the sector last weak. Analysts said, Tuesday's gain was purely news-driven.

According to a company release, Ranbaxy has received final approval from the USFDA to market Metformin Hydrochloride extended- release tablets, 500 mg. Prior to Tuesday's gains, the stock was hammered and had lost 12 per cent from Rs 997.80 on June 16, compared with its yesterday close of Rs 878.