Eris Lifesciences trades higher for fifth straight trading day

Stock of the pharmaceutical company outperformed the market by gaining 12% in past five trading days, as compared to 1.3% decline in the S&P BSE Sensex.

Eris Lifesciences was up 3% at Rs 817 on the BSE in early morning trade, trading higher for the fifth straight trading day.

The stock of pharmaceutical company outperformed the market by gaining 12% from Rs 732 on February 26, 2018, as compared to 1.3% decline in the S&P BSE Sensex. It is trading close to its highest level at Rs 831, touched on November 30, 2017 in intra-day trade. The stock made debut on bourses on June 26 last year.

Eris Lifesciences, engaged in the business of manufacturing and marketing branded formulations, had raised Rs 7.4 billion through initial public offer by issuing shares at price of Rs 603 per share.

Eris while announcing December quarter results in February said that the Company has completed acquisition of Indian domestic formulation business of Strides Shasun for Rs 5,000 million and 100% shareholding of UTH Healthcare for Rs 128.50 million.

The Company is in the process of making a final determination of fair value for the purpose of purchase price allocation and the same is expected to be completed by March 31, 2018, it added.

According to Business Standard report, after growing organically for almost a decade, Eris made 4 acquisitions of distressed businesses in about a couple of years and is now hoping to turn them around.

Of the four acquisitions, Eris has managed to grow the contributions from Amay and Kindex to its revenues by a whopping 211% this fiscal from FY17. The Ahmedabad-headquartered company is working actively to turn around the other two - Strides (its largest acquisition so far) and niche nutrition player UTH Healthcare, added report. CLICK HERE TO READ FULL REPORT

At 09:46 am; Eris was trading 2% higher at Rs 810 on the BSE, as compared to 0.69% rise in the S&P BSE Sensex. A combined 30,930 shares changed hands on the counter on the BSE and NSE so far.