Wockhardt shares fall 5 per cent on UK regulator action

Drug maker Wockhardt saw its shares fall 5 per cent in early trade on Monday after Britain's drug regulator revoked its good manufacturing practice certificate for one of its production facilities.

On October 12, the drugmaker had said the Medicines and Healthcare Products Regulatory Agency, United Kingdom (UKMHRA) has decided to withdraw the previously issued GMP Certificate to the company's manufacturing facility situated at L1, MIDC, Chikalthana, Aurangabad.

MHRA has also said it "will be issuing a restricted GMP (good manufacturing practice) Certificate to the site along with a statement of non-compliance for the said site," the statement added.

The impact of the same on existing business will only be known once the company receives further communication from UKMHRA, Wockhardt had said.

Wockhardt earns about $19 million in UK and European Union sales from the Aurangabad facility.

Reacting to the development, the shares of the company slumped to their maximum possible limit on the bourses and hit the lower circuit limit of Rs 499.30, down 4.99 per cent on the Bombay Stock Exchange.

Similar movement was witnessed on the National Stock Exchange as well, where the stock slumped 5 per cent and hit its lower circuit limit of Rs 499.65.

With inputs from agencies