Wockhardt faces 1 million-pound hit due to Kadaiya unit lapses

New Delhi: Drug major Wockhardt said on Wednesday that it will take a revenue hit of nearly one million pounds due to import restrictions imposed by the Medicine and Healthcare Products Regulatory Agency, UK on medicines made at its Kadaiya facility in Nani Daman.



The company, however, said the UK drug regulator has eased the restrictions to an extent allowing it to supply most of the products manufactured at the said facility to the UK.



Wockhardt has received a communication from UKMHRA whereby they have allowed manufacturing and supply most of the products manufactured at the said facility and assessed to be critical to public health, it said in a filing to the BSE.



\"As a result the net impact on the annualised consolidated revenue is expected to be less than 1 million pounds, out of the total annual consolidated revenue of approximately 18 million pounds, from the said facility,\" the company said.



Last month, UKMHRA had imposed restrictions on import of medicines made at the Mumbai-based firm\'s Kadaiya unit for violation of norms, the second Wockhardt plant to face such action in as many weeks.



Earlier, the UK health regulator had taken action against the company\'s Chikalthana facility in Maharashtra, from where good manufacturing certification was withdrawn last month, and the export-oriented plant at Waluj which came under an import alert in July this year.



Shares in Wockhardt, on Wednesday, ended at Rs. 470.45 apiece on the BSE, up 5 per cent from their previous close.
News From: http://www.7StarNews.com