plant, the brokerage said.
"Given there are no sales from Mohali, the import alert has no financial impact ... However, hopes for approvals for new products from Mohali have been dashed. We understand Ranbaxy Laboratories had been working with the USFDA on approval of Diovan from Mohali."
The company has been awaiting the U.S. drug regulator's final nod for its generic versions of Novartis AG's hypertension drug Diovan.
Ranbaxy says not received any FDA communication on import alert
Ranbaxy Laboratories Ltd said on Monday it had not received any communication from the U.S. Food and Drug Administration on an import ban on its Mohali factory in northern India.
"We are seeking information from the USFDA in this regard," the company said in a statement issued to the stock exchanges.
The FDA slapped an "import alert" on the Mohali factory in northern India on Friday, saying the plant owned by India's biggest drugmaker by sales had not met so-called good manufacturing practices, the U.S. regulator said on its website.
Shares in Ranbaxy plummeted on Monday, sinking as much as 32.6 percent to post their worst single day fall on the news.
WARNING LETTER FOR STRIDES
India's drugmakers have come under closer scrutiny this year as the FDA, the guardian of the world's most important pharmaceuticals market, has increased its presence in the country to bolster quality and confidence in Indian-made drugs.
India produces nearly 40 percent of generic drugs and over-the-counter products and 10 percent of finished dosages in the United States. In March, India allowed the FDA to add seven inspectors, which will bring its staff in India to 19.
Increased on-the-ground oversight reflects India's growing importance as a supplier to the United States, and should ultimately bolster quality and confidence in Indian-made drugs.
The FDA's stepped-up presence should also accelerate what some in the domestic industry hope is a more rigorous attitude towards compliance in a country whose cheap generics have made it the low-cost pharmacy to the world.
Another Indian drugmaker Strides Arcolab Ltd said on Monday a plant of its unit Agila Specialties Private Limited had also received a warning letter from the