Shares of Dr Reddy’s Laboratories Ltd hit a 52-week high of Rs 6,388.45 on 12 February after USFDA (US Food and Drug Administration) cleared its Bachupally site, situated in Hyderabad, with a VAI (Voluntary Action Indicated) status.
In its regulatory filing, the company announced that the USFDA has issued a VAI classification when it finds discrepancies during its inspection of any particular facility, but it did not deem it major enough to issue an official action needed status.
A VAI classification also gives the facility a clear road to manufacturing and marketing products.
The filing added that the FDA classified the inspection as VAI and issued an establishment inspection report to conclude the inspection was closed.
Earlier, the USFDA had previously inspected the facility between 19 and 27 October 2023, after which they issued a Form 483 with 10 observations.
In its quarter report for October-December, the company reported a 10.6% year-on-year increase of Rs 1,378.9 crore during the quarter and a 6.6% YoY increase in its revenue from operation at Rs 7,214.8 crore for the quarter under review.
At 3:30 pm, the shares of Dr Reddy’s closed 2.68% higher at Rs 6,321 on NSE.