Natco Pharma Shares Drop 1.4% After USFDA Issues 7 Observations for Chennai API Unit

o Pharma Shares Drop 1.4% After USFDA Issues 7 Observations for Chennai API Unit Mumbai, November 24, 2025 – Shares of Natco Pharma Ltd declined as much as 1.42% in early trade on Monday after the company disclosed that the United States Food and Drug Administration (USFDA) issued seven observations in Form 483 following an inspection of its active pharmaceutical ingredients (API) manufacturing facility in Manali, Chennai. At 09:19 a.m., Natco Pharma was trading at ₹852.15 on the BSE, down ₹12.25 or 1.42% from its previous close. The USFDA conducted a routine inspection of the Manali unit from November 17 to November 21, 2025. Upon conclusion, inspectors handed over a Form 483 listing seven observations. In a regulatory filing, Natco Pharma stated: “The company believes these observations are procedural in nature and is confident of addressing them comprehensively within the stipulated time.” Market participants typically view a single-digit Form 483 count as manageable, especially when the company classifies the observations as procedural rather than critical or major. However, any USFDA observation tends to trigger short-term selling pressure in pharma stocks until the company formally responds and the regulator closes the matter.