Buy Ipca Laboratories, says Taher Badshah

Taher Badshah, Fund Manager at Motilal Oswal Asset Management told CNBC-TV18, "We are investors in Ipca Laboratories and reasonably we hold it in our funds as well. They have gone through a bad touch, two back to back issues with the Food and Drugs Administration (FDA) something which is a little unsettling. From the company’s stand point and from the point of view of what they can do to mitigate this they have already initiated the process. Even after the first observation they have guide it for a six months kind of a timeframe where in they would try and rectify procedures. That has already been embarked upon and they are on course to achieve that."

"There are always delays or changes in timelines beyond a point it is not under corporate control. Now with the kind of correction that the stock is seen and may be given the kind of guidance for the company is probably given for balance of the year. It looks like the worst is to our mind has got factored in even if you were to probably assume that the US business wouldn’t grow in to the next 12 odd months the domestic business is more than justifies it, the current valuation more than captures the downside on the account of the sluggishness in the US business in showing future. It is now becoming a fairly decent buys especially if someone has a two-three year kind of a perspective," he added.