Aurobindo Rally Makes Reddy a Bil­lion­aire

The Economic Times - - Markets & Finance - NETTY ISMAIL

PV Ramaprasad Reddy, the co­founder of In­dian drug­maker Aurobindo Pharma, is a bil­lion­aire as the stock more than tripled in the past year to a record.

Reddy and his wife, Suneela Rani, con­trol about 38% of Aurobindo Pharma, ac­cord­ing to a May 26 fil­ing to the Bom­bay Stock Ex­change. Ex­clud­ing shares pledged as col­lat­eral, their in­ter­est in the drug­maker is val­ued at more than $1 bil­lion, ac­cord­ing to the Bloomberg Bil­lion­aires In­dex.

In­vestors are bet­ting on in­creased sales af­ter the US health reg­u­la­tor ap­proved its generic ver­sion of Cym­balta an­tide­pres­sant in De­cem­ber. Its ac­qui­si­tion of Dublin-based Ac­tavis Plc’s commercial op­er­a­tions in seven Euro­pean coun­tries this year also gives it scale and ac­cess to other mar­kets, said Ran­jit Ka­pa­dia, an an­a­lyst at Cen­trum Broking Pvt.

“There is a rerat­ing that has hap­pened,” said Mum­baibased Ka­pa­dia, who has a buy rec­om­men­da­tion on the stock. “There is an ex­pec­ta­tion of good re­sults.”

The Hy­der­abad-based drug­maker’s share price more than tripled in the last 12 months to close at a record .` 642.45. Aurobindo Pharma plans to an­nounce its earn­ings for the year ended March 31 at the end of the week, it said in a state­ment to the stock ex­change. – Bloomberg

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.