Shares of Strides Pharma rallied 5% on 21 December after the company announced that it had availed credit for its step-down subsidiary in South Africa.

In its regulatory filing, the company said that its step-down subsidiary, Trinity Pharma Proprietary Ltd, has availed credit facility from a division of Investec Bank Limited, Investec for its working capital requirements.

The company has availed a total credit of Rs 31.5 crore (ZAR 70 million).

The company has provided support in the form of corporate guarantees in favour of Investec to facilitate Trinity’s borrowing.

Strides Pharma Asia Pte. Ltd Singapore is the holding company for Trinity and holds a 51.76% stake in Trinity.

In its quarterly report for July-September, the company reported a net loss of Rs 131.3 crore during the quarter from Rs 22.8 crore reported in the same quarter last year.

However, the revenue for the quarter saw an 11.4% year-on-year growth to Rs 999.4 crore from Rs 897 crore reported in the same quarter of the previous fiscal year.

At 3:30 pm, the shares of Strides Pharma closed 3.79% higher at Rs 597 on NSE.