Sun Pharma up on US court's diabetes ruling

The stock rose 2.5% on US court's decision

Sun Pharmaceutical Industries rose 2.4% after the US Supreme Court allowed the Indian drug maker to sue a brand name rival in a bid to develop a generic diabetes drug for the US market.

Caraco Pharmaceuticals, a unit of Sun, had argued the patent description for Prandin, a diabetes drug developed by Denmark's Novo Nordisk, was too broad, and effectively prevented generic versions to hit the market.

Analysts say that Sun Pharma is now more likely to be able to launch a generic version of Prandin, probably by fiscal 2013.