Cipla shares drop after FDA temporarily suspends licence for Patalganga manufacturing facility in Maharashtra
The licence for Ciplas manufacturing plant in Patalganga was suspended for 10 days for not conforming to good manufacturing practices under the Drugs and Cosmetics Act 1940. The order from the Konkan FDA was issued on August 10.
Pharmaceutical company Cipla Ltd shares dropped more than 1 per cent on Thursday after the company disclosed that the licence for its Patalganga manufacturing plant in Raigad district of Maharashtra has been temporarily suspended by authorities.
In a filing to the stock exchanges on Wednesday, the pharmaceutical company said that its Food and Drug Administration (FDA) license was suspended for 10 days after the Konkan division of the state Food and Drug Administration found that the site was not conforming to good manufacturing practices under the Drugs and Cosmetics Act 1940. The company stated that the suspension will not impact financials, operations or other activities
Cipla added that it does not agree with the order and it would be appealing against the order with the state government. The company said that it received the order dated August 10, 2023, from the Office of the Joint Commissioner, FDA, on August 14.
The company has recently rolled out its CiplaMed 2.0 knowledge platform aimed at helping health care practitioners. The platform will provide medical practitioners with current and accurate clinical updates across 19 different medical specialities. The content on the platform will include webinars, podcasts, expert talks, patient education resources and more. The platform’s older version had 12,000 registered medical professionals.
Shares of Cipla were trading 0.72 per cent lower at Rs 1233.2 apiece on BSE at 1:35 PM. The stock dropped more than 1 per cent to a low of Rs 1,226 apiece on BSE in morning trade on Thursday.
The pharma stock has gained more than 19 per cent over the past one month. Cipla’s shares have gained more than 33 per cent in the past three months and more than 20 per cent in the past one year.
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