December 4, 2018 / 4:59 AM / 10 days ago

BUZZ-India's Sun Pharma edges higher; issues clarification over report of regulatory probe

** Shares of drugmaker Sun Pharmaceutical Industries Ltd recoup some of previous session’s losses; rise as much as 2 pct

** Stock sank more than 10 pct on Monday after a report of a regulatory probe against the company

** Markets regulator Securities and Exchange Board of India (SEBI) is likely to reopen an insider trading case against Sun, a report by the PTI carried in Indian daily Economic Times said

** Company said late on Monday it had not been informed of reopening of any old insider trading case; adds its tax rate is now in mid-teens

** Various brokerage and media reports have in recent weeks raised questions about the company’s governance lapses and a probe by the capital markets regulator, sending its shares lower

** Company’s statement on Monday “may leave the markets with mixed feelings,” Jefferies analysts write, with PT 535 rupees and rating “hold”

** IIFL Institutional Equities says “based on investor feedback, management may look at rewinding/reorganising some transactions that the company believes will not have any material impact on its operations”

** More than 9.3 mln shares trade as of 0443 GMT, 1.1 times their 30-day moving avg of 8.8 mln shares

** Of 37 brokerages covering the stock, 13 rate it “buy” or higher, 13 “hold” and 11 “sell” or lower; their median PT is 577.50 rupees ($1 = 70.3850 Indian rupees)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below