Ipca Lab plummets 11% as The Global Fund stops drug purchases
The Global Fund raises funds from donors, and invests them in implementing countries. It works for people affected by HIV, TB and malaria.
By ET Online | Updated:
NEW DELHI: Shares of Ipca Laboratories plummeted over 14 per cent to hit a fresh 52-week low, before settling 10.6 per cent lower at Rs 499.30 on Friday after an international financing organisation, The Global Fund, decided not to allocate any volume of artemisinin-based combination therapy (ACTs) to the company in light of recent USFDA warning issued to the drugmaker.
The stock cracked 14 per cent to hit its 52-week low of Rs 480 earlier in the session on BSE.
In a regulatory filing to BSE, the company said, “The Global Fund, Geneva, Switzerland, vide their letter dated April 04, 2016, has informed the company that in the light of the warning letter issued to the company by the US FDA on January 29, they have re-assessed the situation and following a risk consideration exercise, will not allocate any volume of ACTs to the company and that they will only source ACTs from other pre-qualified suppliers that have no outstanding issues with the regulators.”
The Global Fund raises funds from donors, and invests them in implementing countries. It works for people affected by HIV, TB and malaria.
By 2015, the organisation had received cumulative grants of more than $33 billion. The ongoing three-year cycle, beginning January 1 2014, includes pledges of more than $12.23 billion, or approximately $4 billion per year, the company said on its website.
The stock cracked 14 per cent to hit its 52-week low of Rs 480 earlier in the session on BSE.
In a regulatory filing to BSE, the company said, “The Global Fund, Geneva, Switzerland, vide their letter dated April 04, 2016, has informed the company that in the light of the warning letter issued to the company by the US FDA on January 29, they have re-assessed the situation and following a risk consideration exercise, will not allocate any volume of ACTs to the company and that they will only source ACTs from other pre-qualified suppliers that have no outstanding issues with the regulators.”
The Global Fund raises funds from donors, and invests them in implementing countries. It works for people affected by HIV, TB and malaria.
By 2015, the organisation had received cumulative grants of more than $33 billion. The ongoing three-year cycle, beginning January 1 2014, includes pledges of more than $12.23 billion, or approximately $4 billion per year, the company said on its website.
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