Piramal Pharma shares likely to react to multiple triggers on Tuesday

Piramal Pharma Ltd. shares are in focus on Tuesday, May 13, after the company on Monday said it is investing $90 million for the expansion of its Lexington and Riverview facilities in the US.

The company said the expansion is aligned with the growing US customer demand and onshoring of drug supply.

The Lexington facility will add 24,000 square feet of sterile injectable manufacturing space, etc. It is expected to be completed by late 2027.

The Riverview facility will be operational by the end of 2025.

The expansions support Piramal Pharma's integrated antibody-drug conjugates (ADC) platform, enabling the GMP drug product in 12 months.

The expansion also builds on the $470 million in prior US investments, which has supported 750 employees across the US sites, the company said in an exchange filing.

The fresh $90 million investment supports the trend towards onshoring of drug supply in the US.

Piramal Pharma is also ramping up its US facilities as the sector overall is awaiting clarity on tariffs that the Donald Trump administration is likely to impose. Last night, US-based drugmakers surged as the executive order signed by Trump on drug pricing was not as bad as feared.

On another note, the US Food and Drug Administration (USFDA) inspected Piramal Pharma's Turbhe facility from February 11 to 17. The regulator has issued an establishment inspection report (EIR) with voluntary action indicated (VAI) status.

Piramal Pharma ended the previous trade session 2.19% higher at ₹212.31 apiece. The stock has declined 18.25% in the last six months.

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