The shares of Dr Reddy's Laboratories surged as much as 8.7 per cent to ₹2,655 on Wednesday, their highest since Sept. 26.
A U.S. appeals court on Tuesday allowed the generic drugmaker to sell a copycat version of its rival Indivior Plc's opioid treatment Suboxone Film. The court has also lifted a preliminary injunction filed by UK-based Indivior that blocked Dr. Reddy's from selling the generic drug.
This ruling is a near-term positive and allows re-launch and reduces risk on ongoing patent case, Jefferies says in a note. It also retains “underperform” rating with a price target of ₹2,100.