Cipla tumbles down

Cipla opened 4% lower at Rs.916.70 and went down to an intraday low at Rs.910.05, a decline of over 4.5%. Volumes show an extraordinary jump at almost 358 times.

There was a huge block deal on the Cipla counter where promoters sold 2.5% stake.

Cipla issued a clarification saying, “Dr. Y K Hamied, Chairman and Mr MK Hamied, Vice Chairman who are Non-Executive Directors and promoters, have sold 2,01,69,756 shares (representing 2.5% of the total issued and paid-up share capital of the Company) today. Post this transaction, the promoter group will continue to hold 34.23% in the company. The group remains fully committed and invested in the future of Cipla Limited. The senior promoters who are both in their eighties, intend to use the funds generated from this sale for personal purposes including philanthropy. The promoter group does not plan to sell any further shares in the foreseeable future.”