Marksans Pharma shares soared 18% in early deals on Tuesday after the pharma company unveiled to consider the proposal for the buyback of fully paid-up equity shares of the company. In an exchange filing, the Mumbai-headquartered global pharmaceutical company says its board will meet on July 8 to consider a share buyback proposal. The firm, however, didn’t divulge the specifics involving the arrangement. As a result, Marksans Pharma stock climbed 18% to INR 51 (USD 0.64) against the previous closing of INR 43.20 (USD 0.55) on the Bombay Stock Exchange (BSE). Shares of Marksans Pharma opened with a gain of 11.57 per cent at INR 48.20 (USD 0.61) on Tuesday.
The stock has increased after two days of consecutive drops. As a result, the firm’s market capitalisation rose to INR 2,038.4 crore (USD 257.2 million) in the current session on BSE.
A total of 8.87 lakh shares of the firm changed hands, amounting to a turnover of INR 4.35 crore (USD 0.55 million) over the counter on the BSE compared to a two-week average of 0.74 lakh stocks by 12:30 PM. In comparison, the BSE benchmark Sensex was trading 607 points higher at 53,842 levels.
The stock has lost 44 per cent in a year and fallen 18.7 per cent in 2022. However, in a month, the stock has climbed 9 per cent. The share moved to a 52-week high of Rs 93.50 and a 52-week low of Rs 38.70 on July 6 2021, and June 20 2022, respectively.
A meeting of the board of directors of Marksans Pharma is scheduled to be held on Friday, July 8 2022, to consider the proposal for a buyback of fully paid equity shares of the company. The firm is striving to buy back an aggregate of the company’s paid-up equity share capital and free reserves as per the board’s decision, the pharma company said in a press release.
About Marksans Pharma Limited
Marksans Pharma Limited is a global pharmaceutical company headquartered in Mumbai, India. Marksans has subsidiaries in the US, the UK, and Australia, with proprietary marketing networks in these countries. The company has manufacturing units in India, the UK and the US and a research and development centre in Mumbai. The firm was integrated in 2001 as a holding of Glenmark Pharmaceuticals Ltd. In 2003, it spun off into a separate entity, focussing on the research, manufacturing, and marketing of generic pharmaceutical products.
Their key focus areas lie in the OTC and prescription drugs with wide-ranging applications across fields like Oncology, Cardiovascular, Gastroenterology, Antibiotics, Antidiabetic, Pain Management, and Gynaecology.
In April, the company acquired a 100% stake in Access Healthcare for Medical Products LLC, a Dubai-based front-marketing and promotion company. The investors of Access Healthcare will receive a cash consideration of AED 13 million (USD 3.54 million) on the closure of the transaction, which is subject to regulatory approvals.
Access Healthcare for Medical Products provides pharmaceutical companies with innovative marketing and sales solutions in the MENA (the Middle East and North Africa) region. The company provisions these products in the UAE and other neighbouring countries.