LIC, HDFC-Backed Large Cap Pharma Hit By Reports Of IT Raid, Shares Tank

Update: Alkem Laboratories has confirmed that the Income Tax Department is conducting a survey at some of its offices and subsidiaries. The firm said in an exchange filing that the development would have no impact on the company’s operations.

Shares of pharma major Alkem Laboratories were slipping on Thursday after reports suggested that the firm’s premises were allegedly being investigated by income tax authorities.

What Happened: A tweet on social media platform X by Hemant Ghai, news director of business news, Bharat Express News Network on Thursday, said that an income tax survey was currently being conducted at Alkem Laboratories.

Ghai also said that more details will be updated soon.

See Also: L&T To Supply All Terrain Vehicle For Indian Army In Partnership With Uk Defence Giant

Alkem Laboratories is a generic and specialty pharmaceutical manufacturing company. It is the seventh-largest pharma company in India by market cap.

The firm’s most popular brands include Clavam, Pan, Pan-D and Taxim-O, and Alkem makes 29% of its revenue from offshore sales. The firm has 20 manufacturing facilities across India and the US and has a business footprint in over 40 countries.

Indian pharma companies’ exports have recently been under scrutiny from the U.S. Food and Drug Administration for lapses in drug manufacturing, with some of the country’s biggest names being pulled up by the drug regulation authority.

Price Action: Alkem Laboratories’ share price was down 1.57% at ₹1,839.15 in late afternoon trade on Thursday.

Read Next: Harry Potter Magic Features On Paytm Device In Delhi Bookstore

Market News and Data brought to you by Benzinga APIs

Don't miss a beat on the share market. Get real-time updates on top stock movers and trading ideas on Benzinga India Telegram channel.

Posted In: EquitiesWIIMMarketsAlkem Laboratories