Dr Reddy's shares witness heavy volatility, recover most of early losses

Shares of Dr Reddy's Laboratories Ltd witnessed heavy volatility Friday, recovering most of its sharp early losses to end over 4 per cent down.

The company's stock tumbled 22.62 per cent to Rs 2,065.30 intra-day on the BSE. Later, it recovered most of the losses and closed 4.21 per cent lower at Rs 2,556.90.

At the National Stock Exchange (NSE), shares crashed 29.77 per cent to Rs 1,872.95 apiece -- its 52-week low in intra-day. It later closed at Rs 2,563.35, a fall of 3.89 per cent.

On the traded volume front, 4.94 lakh shares traded on the BSE and over 67 lakh shares on the NSE.

The stock reeled under selling pressure amid reports that research firm Jefferies said 11 FDA observations under Form 483 on a unit of the drug firm included four repeat observations.

On February 8, Dr Reddy's in a filing to the BSE said, "This is to inform you that the audit of our formulations manufacturing plant - 3 at Bachupally, Hyderabad by the US FDA, has been completed. We have been issued a Form 483 with 11 observations."