Sun Pharmaceutical Industries, an international, integrated, speciality pharmaceutical company, witnessed a rise in share price on Thursday after Taro Pharmaceutical Industries, a wholly owned subsidiary of the company revoked its decision to invest in wind power projects in the US.
Sun Pharma said, '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.'
Taro Pharmaceutical Industries in a SEC filing said, 'The company had dropped the investment plans in the construction of and the acquisition of a wind-powered electric energy project jointly with affiliates of the company's controlling shareholder, Sun Pharmaceutical Industries.'
'Hence, Taro has decided not to pursue the wind energy project at the current time,' it added.
Barclays has upgraded Sun Pharmaceutical Industries to overweight from equalweight. The brokerage said there is a scope for greater probability of regulatory risk heightening at Halol & prolonged operational challenges that the stock is currently priced in.
Shares of Sun Pharmaceutical Industries are trading at Rs 736.00, up Rs 28.1, or 3.97% at the Bombay Stock Exchange (BSE) on Thursday at 11:55 a.m.
The scrip has touched an intra-day high of Rs 739.40 and low of Rs 715.50. The total volume of shares traded at the BSE is 393,238.