Granules sizzles on receiving the EIR from US FDA

Granules India Ltd., a Hyderabad based fast growing pharmaceutical company with world class facilities for APIs, FPIs and Finished dosages was trading up by almost 5.79 percent on reports of the company receiving the Establishment Inspection Report (EIR) from US Food and Drug Administration (FDA).

 Granules India's Jeedimetla plant in Telangana received EIR for the inspection conducted in the month of December, 2015, as per the company's filing to the BSE. While acknowledging the receipt of the responses sent by company on January 7 and  March 28 2016 on US FDA observations, the US FDA closed the matter and issued EIR for the Jeedimetla facility in Telangana, India.

The stock rose sharply in the mid afternoon  trading session at around 13.00 hours and managed to shut shop at Rs. 136.25 per share, higher by Rs. 7.45 per share or 5.80 percent from Friday's closing price. Over a 1 year period the stock is up by almost 64 percent, thus outperforming markets heavily. At Rs. 136 per share the stock is trading above its 200 days simple moving average, indicating bullishness in the scrip. Broader market Sensex closed the day at 26,725 levels inching up by almost 72 points or 0.27 percent.

Interestingly BSE Healthcare index was down by 0.02 percent at 15461 levels on Monday.