Morepen Laboratories secured a ₹117.94‑crore refund relief from the Himachal Pradesh High Court, sending its NSE shares up 5% to ₹128.33.
The court, in its October 12 judgment, quashed a show‑cause notice issued on December 2, 2025, that sought to recover the alleged excess GST refund under Rule 89 of the CGST Act.
Morepen had disclosed the notice to the exchanges on December 4, 2025, and later reported a stay granted on January 8, 2026, keeping the matter on hold until the court’s decision.
Management said the ruling would not affect its financials, operations, or other activities, assuring investors that the company’s balance sheet remains intact.
With the refund cleared, the company will file its next quarterly report on March 31, 2027, and analysts expect no immediate shift in guidance.
Investors are watching for any ripple effects on the broader pharma sector, where GST disputes can dent margins, but this relief keeps Morepen’s outlook steady.