Elder Pharma shares surge on reports of assets sale

Shares of Elder Pharmaceuticals rallied as much as 20 per cent on Friday on reports that the healthcare firm may sell its assets to reduce its debts.

The drugmaker on September 5 had said that it is facing severe financial crunch. According to a report published in Mint, the healthcare firm is likely to sell its assets to reduce debts.

The shares of the company closed 20 per cent up at Rs 100.80 apiece.

The company has six manufacturing (API and formulations) plants in the country, including Patalganga and Nerul plants in Maharashtra, Paonta Sahib and Langha Road plants in Himachal Pradesh and Selaqui in Uttaranchal and one in Nepal.

Several of the employees of the company have quit in the face of the financial crisis, resulting in the audit of the firm for June quarter not finishing on time.