Is the time ripe now to put Gufic Biosciences on your watchlist?

Proposed capacity addition: Lyophilised- 27 million vials per annum, liquid injection-32 million vials per annum.   

The stock of Gufic Biosciences was seen buzzing on the bourses on Monday as it ended the day up by 7.70 per cent at Rs 207.60. The stock is up by 77 per cent on a YTD basis and it is expected to be in the limelight again on Tuesday.   

Here is the reason why it could be in the limelight on Tuesday! The board of directors of the company has approved the proposal for increasing capital expenditure to the tune of Rs 200 crore, out of which, around Rs 180 crore is proposed to be utilised for setting up of the company’s new manufacturing unit and the remaining Rs 20 crore for setting up a research & development facility, both in Indore (Madhya Pradesh).   

As per the update, the product-general facility's existing capacity is as follows: Lyophilised- 48 million vials per annum, liquid injection-12 million vials per annum. Proposed capacity addition: Lyophilised- 27 million vials per annum, liquid injection-32 million vials per annum.   

Product Penem Facility: Existing capacity is nil, proposed capacity addition: Lyophilised- 2.25 million vials per annum, dry powder injection-30 million vials per annum, oral solids-22 million (tablets/capsules) per annum.