Akums Drugs shares hit lower circuit after NSE & BSE seek clarification on stock price movement

The stock was trading at ₹1,063.9, down 5%- its lower circuit limit on the National Stock Exchange (NSE). The market capitalisation stands at ₹16,745.93 crore.

After Tuesday's lower circuit, its gains since listing is 46.7%.

NSE, BSE seek clarification on stock price movement

In a statement, the NSE said, "Significant movement in price has been observed in Akums Drugs and Pharmaceuticals Limited. The Exchange, in order to ensure that investors have latest relevant information about the company and to inform the market place so that the interest of the investors is safeguarded, has written to the company. The response from the company is awaited."

The BSE (formerly Bombay Stock Exchange) also sought clarification from the pharmaceutical company regarding a significant price movement.

Akums Drugs and Pharmaceuticals IPO was a fresh issuance of shares worth ₹680 crore and an offer-for-sale (OFS) of 1.73 crore equity shares by promoters and an existing investor.

Akums Drugs is a pharmaceutical CDMO (Contract development and manufacturing organisation) that provides pharmaceutical products and services in India and international markets.

The company's key clients include Dabur India, Dr Reddy's Laboratories, Ipca Laboratories, Hetero Healthcare, Alembic Pharmaceuticals, Mankind Pharma, Micro Labs, Sun Pharmaceutical Industries, Natco Pharma, Amishi Consumer Technologies (The Mom's Co), Alkem Laboratories, Mylan Pharmaceuticals, Cipla and MedPlus Health Services.