Pharma firm Glenmark’s share price hit a three-year low at Rs 567.95 on Tuesday, before closing 1.8 per cent higher at Rs 581.65 on the BSE. The scrip is down 40 per cent in the past four months.
While pricing pressure in the US, the world’s largest health care market, weighs on domestic pharmaceutical firms, for Glenmark, high debt is adding to its worries.
“The higher-than-expected net debt in its annual report has surprised and a further increase in debt in the September quarter remains a near-term overhang,” said an analyst at Credit Suisse.
Expectation of a reduction in debt
