The share price of Shasun Pharmaceuticals Ltd gained 30.4 per cent in three days, presumably as production resumed at its Cuddalore plant after 40 days of closure.
On the BSE today, the company's share price hit the upper circuit at Rs 78.45 after rising 20 per cent over the previous close.
Mr S. Abhaya Kumar, a member of the promoter-family who took over as the company's Managing Director on April 1, told
The Cuddalore plant was shut down by the State Pollution Control Board after leak of some chemicals. The plant was shut from March 8 to April 22.
Mr Abhaya Kumar estimates the loss of turnover at around Rs 50 crore.
He said that the losses incurred by the closure at Cuddalore will be more than made good by the booming business.
In 2010-11, the company achieved a consolidated turnover of Rs 950 crore — with Rs 300 crore coming from UK operations. Mr Kumar expects the current year's turnover to cross Rs 1,100 crore.
For the first time in a decade Shasun Pharma Solutions Ltd, based in Cramlington, UK, made a post-tax profit last year, Mr Kumar said.
The company was formerly called Rhodia Pharma Solutions. It was acquired by Shasun in 2006.
Last year, Shasun Pharma Solutions made a net profit of £2.3 million. Shasun has so far invested £18 million on Shasun Pharma.
The prospects for the current year look good as orders for the ‘contract research and manufacturing unit', Mr Kumar said.
Shasun is investing Rs 17 crore on expansion. The expanded facility will be operational in June.
Mr Kumar said that the company recently received the approval of the US Food and Drug Administration to sell Ibuprofen 200 mg non-sterile, over-the-counter product in the US.