Aurobindo Pharma shares fall 5 percent on reports of USFDA observations

New Delhi: Shares of Aurobindo Pharma Ltd slumped more than 5% in morning trade amid reports that the company has received observations from the US health regulator for one of its Hyderabad units.

According to a media report, the US Food and Drug Administration (USFDA) has issued Form 483 with nine observations to Aurobindo Pharma’s unit 4 in Hyderabad, citing serious deficiencies in maintaining the manufacturing quality standards.

Aurobindo Pharma shares opened on a weak note at Rs605.40 on BSE, and fell to an intraday low of Rs590, down 5.46% over its previous closing price. At 12.20pm, the shares traded 3.40% lower at Rs602.90, while the Sensex fell 0.95% to 33,723.89 points.

The USFDA representatives had inspected the facility between 12-20 February, the report added.