Novartis India surges 7% as board mulls share buyback

So far in 2017, the stock under-performed the market by falling 24% as compared to 22% rise in the S&P BSE Sensex till Wednesday.

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Novartis is addressing the pricing question with a new type of agreement: For patients whose care is covered by the US govt programmes, the company will only get paid if patients show signs that the treatment is working within a month | Photo: istock

SI Reporter Mumbai

Last Updated : Sep 21 2017 | 9:54 AM IST

Novartis India surged 7% to Rs 697 on BSE in early morning trade after the pharmaceuticals company said that the board will meet on Monday, September 25, 2017 to consider a proposal for buyback of the company's equity shares.

As of June 2017, the promoters held 73.4% stake in Novartis India. The public shareholders holding the remaining 26.6% stake, of which 20.5% holding are with the individual shareholders.

Earlier, in September 2016, Novartis had bought back 3.82 million shares of the company at a price of Rs 760 per share.

Thus far in the calendar year 2017, the stock has underperformed the market by falling 24% as compared to 22% rise in the S&P BSE Sensex till Wednesday.

At 9:37 am, the stock was up 5% at Rs 679 against 0.09% rise in the benchmark index. The trading volumes on the counter jumped an over seven-fold. Around 79,000 shares changed hands on BSE against an average 11,000 shares were traded in past two weeks.