Pfizer shares tanks over 8% after it stops selling Corex cough syrup

By: | Updated: March 14, 2016 4:01 PM

Pfizer share price skid over 7 per cent intraday on Monday after the company informed stock exchanges that it has discontinued the manufacture and sale of its drug “Corex” with immediate effect.

pfizer, corex, cough syrupPfizer share price retreated over 8 per cent intraday on Monday after the company informed stock exchanges that it has discontinued the manufacture and sale of its drug “Corex” with immediate effect.

Pfizer shares declined over 8 per cent intraday on Monday after the company informed stock exchanges that it has discontinued the manufacture and sale of its drug “Corex” with immediate effect.

The share price of the company closed 8.67 per cent down at Rs 1,760.80.

In a BSE filing, the Pfizer said, “This is to inform you that the Government of India vide Notification… dated March 10, 2016… has prohibited the manufacture for sale, sale and distribution of fixed dose
combination of Chlopheniramine Maleate + Codeine Syrup with immediate effect.”

For the quarter ended December 2015, the pharma company posted net profit of Rs 40.34 crore, up 119.60 per cent, against Rs 18.37 crore in the same quarter last year.

“The prohibition is likely to have an adverse impact on the revenue and profitability of the company. It may be noted that Corex recorded a sale of Rs 176 crore for the nine months period ended December 31, 2015,” the company said.

Another drugmaker Abbott Laboratories also sells a codeine-based cough syrup brand in India under the name Phensedyl, which accounts for about a third of the Indian cough syrup market. Abbott shares were down nearly 2 per cent in the morning trade. At 2.39 pm, the scrip was trading 0.18 per cent down at Rs 4,842.60.

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