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Sun Pharma gets US FDA warning letter for Halol facility

Sun Pharmaceutical Industries Ltd, a leading Indian pharma company with net sales of Rs. 27,275 crore plus, has received another major setback as it gets a warning letter from the US FDA as a result of the September 2014 inspection for its facility located at Halol, Gujarat. The company will respond to this warning letter with a detailed plan within the stipulated time frame.

The scrip opened lower at Rs. 740.10 on BSE today as against its previous day’s close of Rs. 790.45 and was down by almost 6 per cent. The scrip reached 52-week highest level of Rs. 1200.70 on April 7, 2015. The scrip touched to its lowest level at Rs. 706.40 on November 11, 2015.

Sun Pharma responded to the US FDA inspection observations with a robust remediation process that is still ongoing, with significant investments in automation and training to enhance its quality systems. The company has been working with external consultants to ensure its remediation activities have been completed in an appropriate manner.

Dilip Shanghvi, managing director, said, “While our team is working hard to ensure that the commitments made to the US FDA in September 2014 are fully completed, we will continue to cooperate with the US FDA and undertake any additional steps necessary to ensure that the US agency is completely satisfied with our remediation of the Halol facility. Sun Pharma has always ensured that its products are safe and effective and there is no doubt on the safety of our products in the market. We are pledged to be cGMP compliant and are committed to continuing to supply our customers and patients across the world with quality products that meet all specifications.”

Since the inspection in September 2014, Sun Pharma has communicated regularly with the US FDA on the progress of its remediation and on issues of product supply. It has provided periodic updates to the US FDA on its commitments. Post the September 2014 inspection, the US FDA has withheld future product approvals from the Halol facility. This situation may continue until all issues are resolved. The company expects to request a re-inspection by US FDA upon completion of its remediation commitments.

The Halol facility will continue to supply important drug products to meet its obligations to its customers and the patients who use its drugs in the US and around the world.

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