Parke Davis (India) Ltd has posted a 16 per cent jump in turnover and a 20 per cent rise in net profit for the first five months of 1997-98. Sales went up from Rs 58 crore to Rs 68 crore.
Meanwhile, company officials are negotiating with the union for an out-of-court settlement on the closure of the Saki Naka plant, which was proposed to be sold off. The matter is with the Mumbai High Court and the company is offering its employees a lucrative VRS on the condition that the case be withdrawn.
At the AGM, chairman Venkappa M Aghadi, said Warner Lambert is not interested in hiking its stake in the company.
He added that Parke Davis would be acquiring local brands besides introducing more Warner Lambert brands. Parke Davis invested Rs 30 crore in acquiring assets at Warner Lambert India Pvt Ltd's plant in Bangalore and then leased them out to the latter. Aghadi said Parke Davis is earning a 21.24 per cent interest on this investment. Warner Lambert India Pvt Ltd is a wholly owned subsidiary of Warner Lambert of US. The company's policy of reducing drugs under DPCO (Drug Price Control Order) has resulted in only two per cent of its drugs remaining under it, Aghadi said.
