Cipla tanks 6 per cent in trade on US FDA observations for Goa units

Mumbai- headquartered pharmaceutical company, Cipla said in an exchange filing that US FDA recently concluded audit of three facilities at Goa and subsequently issued four observations pertaining to the audit carried out.

According to the company’s release the observations made were primarily procedural in nature and the company has already responded to these observations and continues to operate facilities at a high level of compliance and control.

The US drug regulator has conveyed its concerns on manufacturing practices through Form 483. Companies that receive its observations must respond in writing with a corrective action plan and implement it quickly. If the company fails to meet the regulator’s expectations, a warning letter may be issued.

Owing to the news company’s scrip dropped more than 6 per cent intra-day to touch a low of Rs 562.25 before recovering on clarification and closing at Rs 579.70, down 3.84 per cent on NSE.