Plethico counter abuzz with acquisition talk

Rumours of an US acquisition has been driving up the stock price of Plethico Pharmaceuticals over the past couple of days. Market grapevine has it that the company is close to working out a deal with a New Jersey-based retail pharmacy chain, with about 80-100 retail outlets.

Company sources, when contacted, refused to comment on the development. The company has already received shareholder approval for floating a $75-million FCCB issue to part-fund the acquisition. Shares of Plethico ended nearly 2% up at Rs 398 on the BSE. The stock has appreciated by about 4% over the past one week and about 22% over the past one month.