Shares of Dr Reddy’s Laboratories rose over 2% to ₹1,135.30 in early trade on Monday, April 15, after the company firmly denied a media report alleging workforce cost cuts amid pressure on Revlimid margins. The stock opened higher and traded in the range of ₹1,129 to ₹1,151.40 on the NSE, with a market capitalization of ₹945.29 crore at 10:45 AM.
The pharmaceutical major clarified in a regulatory filing dated April 14 that the claims published by Business Standard, which suggested a 25% cost reduction in workforce due to declining margins on Revlimid, were “factually incorrect.” The company emphasized that no such development had occurred which would require disclosure under SEBI’s Listing Regulations.
Company Secretary K Randhir Singh added, “The company does not comment on market speculation and affirms that no such event or development requiring disclosure has taken place.”
Brokerage Nuvama maintained its Buy rating on Dr Reddy’s, reaffirming a target price of ₹1,533 per share, citing a positive outlook for the stock amid continued growth potential.
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