Divi's Laboratories plunges over 11% on receiving Form 483 from USFDA

NEW DELHI: Shares of Divi's Laboratories plunged over 11 per cent on Wednesday after USFDA issued Form 483 to the company that entitles violations of the Food Drug and Cosmetic (FD&C) Act and related acts.

Following the development, the stock fell 11.60 per cent to Rs 850.15 on BSE. It opened at Rs 886 and touched an intraday high and low of Rs 923.85 and Rs 840 respectively.

According to the official USFDA website, "An FDA Form 483 is issued to firm management at the conclusion of an inspection when an investigator(s) has observed any conditions that in their judgment may constitute violations of the Food Drug and Cosmetic (FD&C) Act and related Acts."

Promoters held 52.07 per cent stake in the company as of June 2017.

For the quarter ended June 30, the company reported total revenue at 821.20 crore and net profit stood at 176.54 crore.

The scrip touched its fresh 52-week high of Rs 1,339 on September 29, 2017 and its 52-week low of Rs 533.10 on May 29, 2017.