FDC shares slump over 8% on USFDA inspection

Shares of pharmaceutical company FDC Ltd slumped as much as 8.1 per cent to Rs 232, their biggest intraday percentage drop since May 31 on USFDA inspection.

In a filing to the exchanges, the company had said yesterday that PIC/S Malaysia inspection started from August 7 and was completed successfully on August 10. The inspection was carried out with respect to the oral liquids and oral powders for the ROW markets.

During the above PIC/S inspection, there was also an unannounced inspection by the US FDA which started on August 8. Further, there was a civil unrest on August 9. However the US FDA inspection continued from the next day i.e August 10 and was completed on August 16. 

The US Food and Drug Administration has carried out a surprise inspection of the company's Aurangabad facility and made eight observations ((483s) for which appropriate response will be submitted. The inspection was carried out in relation to the ophthalmic products being exported to the US market.

However, the company continues to export its ophthalmic products to the US market.

More than 109,614 shares traded as of 0437 GMT, 2.6 times their 30-day average. Up to Monday's close, the stock had risen 45.9 per cent in the past one year.

(With inputs from Reuters)