Ranbaxy Laboratories’ stock took a plunge on the Bombay Stock Exchange on Monday, following reports that the US Food and Drugs Administration (FDA) has started the inspection of the drug manufacturer’s plant in Toansa, Punjab.
The company’s stock hit a low of Rs 426 a piece, down eight per cent. By 2.30 p.m., it was trading down 5.93 per cent at Rs 435.45 a piece.
The USFDA in December 2012 had identified at least eight violations at Toansa plant in December 2012.
Sarabjit Kour Nangra, Vice-President, Research (Pharma), Angel Broking, said that 70 to 75 per cent of the company’s APIs (active pharmaceutical ingredients) are manufactured in this plant.
“It is critical in terms of the material supply for the US (market),” she said.