Shares of Sun Pharmaceutical Industries gained as much as 4.5 per cent on Thursday after the company on Tuesday announced that its Israeli arm Taro has decided not to proceed with an investment in a wind energy project in the US.
At 12.15 pm, the share price of Sun Pharma was trading 3.85 per cent up at Rs 735.10. The scrip opened at Rs 715 and had touched a high and low of Rs 739.40 and Rs 715.50, respectively, in trade so far. Sensex was up 136.52 points at 25,912.26.
In a BSE filing, the pharma major said, “Some of the company’s subsidiaries were contemplating an
investment in a wind energy project in the US. Subsequent to a further evaluation, these subsidiaries have decided not to proceed with this potential project.”
The stock of Sun Pharma had came off 6 per cent in previous four trading sessions since wind energy plans were announced. The share price of the company fell to Rs 707.90 on November 24 from Rs 753.95 on November 18.
According to market analysts, announcement allays capital allocation concerns of investors. However concerns over Halol related issue may restrict stock performance in the near term.
The share price of the company closed 3.96 per cent up at Rs 735.95 on Thursday.
(With inputs from agencies)