newsassociate.newrstraders.co.in Ramesh Kumar

12/9/2024

Business

Explained: Why Granules India shares crashed nearly 17% today

Granules India shares tumbled by over 16% in intraday trading on Thursday, September 12, after the company revealed that a recent inspection by the USFDA at its Gagillapur FD facility concluded with six critical observations.

The inspection, conducted between August 26 and September 6, 2024, has raised concerns among investors, leading to a significant sell-off.

In an official statement, Granules India sought to calm investor nerves, expressing its dedication to addressing regulatory issues.

“We acknowledge the concerns raised by investors and are fully committed to resolving the observations identified by the USFDA,” the company said in a stock exchange filing.

"Quality and compliance remain central to our operations, and we are working closely with the USFDA to ensure all concerns are adequately addressed," it added.

Granules also assured stakeholders that updates would be provided in a timely manner as the matter progresses.

Granules India saw its stock nosedive by over 17%, hitting an intraday low of Rs 562.10 on September 12.