India Ratings & Research (Ind-Ra) has affirmed Claris Lifesciences (CLL) long-term issuer rating at 'A'. The outlook is stable. Simultaneously, the agency has withdrawn CLL's instrument ratings as they have now been transferred to Claris Injectables (CIL).

Ind-Ra has taken a consolidated view of CLL and its subsidiaries (the company) including its wholly owned subsidiary CIL ('A'/Stable), considering the strong linkages between CIL and CLL. CLL has guaranteed CIL's loans and facilities. CIL's injectable sales and profitability will account for significant portion of the company's consolidated turnover and profitability from 2Q15 (quarter ending June). Also, CLL will extend tangible financial support to CIL if required, indicating the strong strategic linkages between the two entities. The company, on consolidated basis, has cash and cash equivalent of Rs 2.3 billion.  

Both the entities share certain common directors, indicating the moderate operating linkages between them. In addition, CIL's injectable business, especially for the regulated markets, is being routed through CLL till the licences/filings are transferred to CIL. The agency expects the transfer to materialise by 2Q15.

Shares of the company declined Rs 8.4, or 3.18%, to trade at Rs 256.10. The total volume of shares traded was 48,299 at the BSE (1.16 p.m., Friday).