Vivimed Labs surges on successful USFDA inspection of Alathur facility

The stock surged 16% to Rs 107 on the BSE in early morning trade on back of heavy volumes.

Vivimed Labs has surged 16% to Rs 107 on the BSE in early morning trade after the company said its 'Finished Dosage Form' (FDF) manufacturing facility located in Alathur, near Chennai has had a favourable outcome post its US Food and Drug Administration (USFDA) inspection.

The audit was conducted during the last week of November and concluded on November 28, 2016.

The company also obtained ANDA approval for Metronidazole and same is commercialized, Vivimed Labs said in a release.

During November 2016, the Company acquired ANDA of Zolpidem and the file transfer has successfully been completed. It is expected to be commercialised by Q4 FY2O17, it added.

Commenting on the development, Vivimed Labs MD Santosh Varalwar said: "Over the two years we have received satisfactory outcomes of USFDA inspections for our two plants in Spain, one in Mexico and one in India."

For the India plant, this was the second inspection, he added.

At 09:3 am; the stock was up 12.5% at Rs 104 on the BSE, as compared to 0.21% rise in the S&P BSE Sensex. The trading volumes on the counter more than doubled with a combined 1.17 million shares changed hands on the BSE and NSE so far.