Why Jubilant Pharmova shares rally over 6% in a weak market
The scrip traded 6.25% higher at Rs 782.50 at around 10 am (IST). On the other hand, the benchmark BSE Sensex was down 1,175 points, or 2.37%, at 48,415 at around the same time.
Amid an increase in coronavirus cases, Maharashtra, Delhi, Gujarat, Chhattisgarh and Madhya Pradesh have started reporting a shortage of the anti-viral remdesivir. As a result, shares of Jubilant Pharmova climbed over 5% in Monday’s early trade as the company makes Remdisevir Injections. According to market watchers, the company has plants in India and abroad. Therefore, the export ban in India will not impact overseas sales of the company.
The country has banned the export of the anti-viral drug Remdesivir amid a rise in cases in India. In order, the government said it has banned the export of Remdesivir injection and Remdesivir active pharmaceutical ingredients (API) till the pandemic situation in the country stabilises.
“India is witnessing a recent surge in Covid cases. As of April 11, there are 11.08 lakh active Covid cases and they are steadily increasing. This has led to a sudden spike in demand for injection Remdesivir used in the treatment of Covid patients. There is a potential of a further increase in this demand in the coming days,” the government said in a statement.
The scrip traded 6.25% higher at Rs 782.50 at around 10 am (IST). On the other hand, the benchmark BSE Sensex was down 1,175 points, or 2.37%, at 48,415 at around the same time.
Five states — Maharashtra, Chhattisgarh, Karnataka, Uttar Pradesh and Kerala — cumulatively account for 70.82% of India’s active Covid-19 cases, while Maharashtra alone accounts for 48.57%, the Union Health Ministry said.
According to a PTI tally, the total cases had climbed to 1,35,09,746 by Sunday night, with 11,89,238 active cases.
While the cumulative number of Covid-19 vaccine doses administered in the country has crossed 10 crore after 85 days, the ‘Tika Utsav’ or a special ‘vaccination festival’ was started till April 14.
“Anyone eligible for the vaccine should get the jab, and for this the society and administration have to make full efforts,” Prime Minister Modi said pitching for “zero vaccine waste” and urging the people to follow Covid-appropriate behaviour.
“This festival is, in a way, the beginning of another major war against corona. We have to lay special emphasis on personal hygiene as well as social hygiene,” he said.