Glenmark down as DGCI pulls it up

Glenmark Pharma, yesterday, was pulled up by the Drug Controller General of India (DCGI), Mr.V. G. Somani for alleged false claims about the use of Fabiflu to treat covid-19 as well as overpricing of the branded generic, having received a complaint by an unnamed legislator.

Mr.Somani has asked the company to provide a clarification on the matter.

He said in a letter, “After all positive approach, accelerated processes and efforts by DCGI, health ministry and relevant state FDA departments, the cost proposed by Glenmark is definitely not in the interest of the poor, lower middle class and middle class people of India. Further it has been mentioned in representation that Glenmark has also claimed that this drug is effective in co-morbid conditions like hypertension, diabetes, whereas in reality, as per protocol summary, this trial was not designed to assess the FabiFlu in co-morbid conditions.”

There is no response from the company on this matter yet.

The market is obviously not happy with this development and the stock is among the top five gainers. It slipped over 5% to go down to an intraday low at Rs.408; it has recouped from there and is now trading in the red but at Rs.417 levels.