News: Sun Pharma has received a Warning Letter from USFDA for its Dadra facility. This facility had received Official Action Initiated (OAI) status from the agency in April 2024.
Views: After Halol and Mohali, the Dadra facility has now come under the USFDA embargo via Warning Letter. Sun has optically diverted its attention to the highly remunerative specialty business which now contributes more ~50% to the US sales. On the other hand, the ex-Taro generic sales (originating from Halol + Mohali + Dadra) could be around 8-10% (including gRevlimid). That said, Warning Letter resolution could lead to higher remediation costs and hence dent on margins.
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