The shares of Glenmark Pharma crashed over 6 percent on April 9 after the US pharma regulator announced that 39 drugs manufactured by the company, most of which were made at its Pithampur plant in Madhya Pradesh, have been recalled from the American market owing to GMP concerns.
The shares of the company were trading at Rs 1,353 apiece.
The USFDA enforcement order said that the recall was a voluntary one, issued by the firm itself on March 13 this year. The recall falls under the agency's Class II category, which means that the use of the products may cause temporary or medically reversible adverse health consequences. Such drugs however are not likely to cause serious adverse health consequences.
The shares of the company have now extended losses for the fourth consecutive session. The pharma giant has seen a strong downturn in its share price recently, falling over 13 percent in the last five sessions.
The fall in the share price accompanies its peer stocks, as US President Donald Trump continues to threaten tariffs on pharmaceuticals.
US President Donald Trump, on Wednesday, said his administration would soon announce a “major” tariff on pharmaceutical imports, aimed at encouraging drug manufacturers to shift operations back to the US.
Speaking at an event hosted by the National Republican Congressional Committee, Trump said, "We’re going to be doing something very big on drug imports — a major tariff is coming. We want these companies to make their products here, in America, not in China or elsewhere."
The Nifty Pharma shares were down nearly 2 percent in the afternoon.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
Find the best of Al News in one place, specially curated for you every weekend.
Stay on top of the latest tech trends and biggest startup news.
