Wockhardt sweeps 7% on gain GMP certificate for Ankaleshwar facility

Shares of Wockhardt jumped 7 percent on Friday after German regulator allotted European Union Good Manufacturing Practice certificate to the company’s Ankaleshwar facility in Gujarat.

Following the statement, the stock scaled 6.93 per cent to hit a high of Rs 720. A total of 2.58 lakh shares enhanced hands on the counter within half an hour of trade, related to a two-week daily average of 1.87 lakh shares.

At the prevailing price, the stock is swapping at 29.56 times its trailing 12-month EPS and 2.17 times its book value. The declaration came in a day after the company in a reply to information sought by interactions said that the ‘import alert’ it received for the active pharmaceutical ingredients (APIs) unit in the same facility was already achieved in August 2016 and the fresh warning letter was a part of the same process.

On Thursday, the company well-versed exchanges that the “competent authority, Berlin, Germany has since delivered EU GMP Certificate confirming that company’s manufacturing facility at 138, GIDC Estate, Ankaleshwar, Gujarat, fulfills with the principles and guidelines of Good Manufacturing Practices”

The certificate allotted in this regard is valid for three years, the company claimed.