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Orchid Chemicals dives



Shares in Orchid Chemicals hit a 52-week high in early trades on the sale of its key generic injectable business but ended 10.35 percent lower at 197.85 rupees on Wednesday after growth concerns sparked a sell-off.

Orchid Chemicals remained one of the top traded stocks on BSE ending with a volume of over 9.5 million shares.

Late on Tuesday, U.S.-based Hospira Inc said it would buy Orchid Chemicals & Pharmaceuticals Ltd’s generic injectable business for $400 million, in a deal that would expand its global reach and position as the market leader.

Orchid Chemicals expects the sale of its generic injectable drug to add 7-8 rupees a share to its earnings in FY11, Managing Director K Raghavendra Rao said.