Cipla shares drop 5% following suspension of key drug production
**MARKET BRIEF: CIPLA LTD (CIPLA)**
**Cipla** shares faced significant selling pressure during Friday's session following a production halt for its critical **Lanreotide Injection**. The suspension stems from observations issued by the **USFDA** at a manufacturing facility operated by the company's partner in Greece.
Management anticipates that supply for this key oncology product will not resume until **H1 FY27**. This extended timeline has sparked immediate investor concern regarding the availability of one of Cipla’s top-performing assets in the **US market**.
Technically, the stock is currently trading near **oversold levels**. Despite the sharp correction, momentum remains weak as several technical indicators signal a **bearish outlook** in the immediate term.
Market participants are closely monitoring the impact on near-term revenue projections, as the **Lanreotide** disruption represents a temporary bottleneck in the company's complex generics pipeline.