J B Chemicals slips on receiving closure order for Daman plant

J B Chemicals & Pharmaceuticals fell 2.33% to Rs 312.65 at 12:21 IST on BSE after the company said it received an order from Pollution Control Committee, Daman for closure of its formulation manufacturing facility at Daman.

The announcement was made after market hours yesterday, 19 April 2018.

Meanwhile, the S&P BSE Sensex was down 53.05 points, or 0.15% to 34,374.24.

On the BSE, 25,000 shares were traded in the counter so far compared with average daily volumes of 3,904 shares in the past two weeks. The stock had hit a high of Rs 317.80 and a low of Rs 298.20 so far during the day. The stock hit a 52-week high of Rs 363.05 on 17 May 2017. The stock hit a 52-week low of Rs 255 on 28 September 2017.

J B Chemicals & Pharmaceuticals said it received an order from Office of Member Secretary, Pollution Control Committee, Daman dated 18 April 2018 directing the closure of the company's formulation manufacturing facility at Daman on the ground of alleged deviation of standards of treated waste water released from ETP outlet of the said facility.

The company said it does not accept the analytical results obtained by the said authority. The company is taking all necessary steps so as to resume operations at the said facility in line with the standards prescribed by the said authority. The company's said facility has received all NOC/Consents to operate under applicable environmental laws and is operating well within the framework of law. During 2017-2018, the total sales of formulations manufactured at the said facility amounted to about Rs 223 crore.

Net profit of J B Chemicals & Pharmaceuticals declined 5.34% to Rs 33.85 crore on 10.22% rise in net sales to Rs 304.74 crore in Q3 December 2017 over Q3 December 2016.

J B Chemicals & Pharmaceuticals manufactures a range of innovative specialty products that include various pharmaceutical dosage forms like tablets, injectable (vials, ampoules, form fill seal), creams & ointments, lozenges, herbal liquids and capsules.

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