Sun Pharma drags Nifty Pharma by ~3%

Shares of Sun Pharma declined for the second consecutive session after a media report said that fresh whistleblower documents were sent to Sebi.

Jan 18, 2019 05:01 IST India Infoline News Service

Sun Pharma trader
Selling was seen across the pharma space as the day progressed – Sun Pharma plunged 10% to Rs382. The Nifty Phama index was trading ~3% lower in Friday's morning session.

Glenmark and Cadila stocks fell over 3% each. Shares of Piramal Enterprises, Lupin, and Aurobindo Pharma were also trading down in the range of 2-1%, respectively.

Shares of Sun Pharma declined for the second consecutive session after a media report said that fresh whistleblower documents were sent to Sebi. The complaint has come against Sun Pharma over its relationship with Aditya Medisales. The related party transactions of Sun Pharma with Aditya Medisales has been one of the major issues discussed in the conference call held by the company management in the last month.

"In just over three years, between 2014 and 2017, Aditya Medisales (AML) has had over Rs5,800cr of transactions with Suraksha Realty, controlled by Sun Pharma’s co-promoter, Sudhir Valia, alleges the new 172-page complaint (with documents) sent by the whistleblower on Sun Pharma to the SEBI," according to Moneylife report.

Reacting to the news, shares of SPARC hit a 52-week low of Rs155.35 on the BSE.

The Sensex slipped 78 points to 36,296, while the Nifty dropped 23 points to 10,882 levels. Moreover, market breadth on the NSE was also negative with 1,026 declining, 560 advancing, and 467 remaining unchanged on the NSE.

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