Cadila slips on receiving OAI for Moraiya unit

Moraiya unit of Cadila Healthcare which is located in Ahmedabad has received Official Action Indicated (OAI) for the unit after inspection conducted by USFDA. After this development, the stock of the company fell by around 1.77 per cent on Wednesday.

For the inspection conducted at Cadila’s Moraiya unit in Gujarat from April 22 to May 3, 2019, United States Food and Drug Administration (USFDA) issued an OAI letter to the company. OAI means that the USFDA inspection has reported some significant objectionable conditions or practices and hence the company needs to take some action for addressing the issues. In a letter to the exchanges, the company mentioned that this result will not impact the current supplies and revenues at the facility and also that the company is in the process of taking corrective measures to ensure a positive outcome for the future.

Cadila Healthcare Limited is a pharmaceutical company headquartered in Gujarat, India. The company is into developing, manufacturing and marketing generic drugs, healthcare therapies, including small molecule drugs, biologic therapeutics and vaccines.

Reacting to this development, the stock of the company fell by 1.77 per cent and was Rs. 222.50 per share which is a decrease of Rs. 4 per share. The 52-week high is Rs. 432.40 and 52-week low is Rs. 216.30. The intraday low is Rs. 218.20 on BSE.