Shares of Sun Pharmaceutical Industries were among the top traded today. Know why

Futures of Sun Pharmaceutical Industries Ltd. were the top traded counter on the derivatives market after the company's unit, Taro Pharma, got the USFDA nod to sell Keveyis, a drug aimed at paralytic patients in the United States.

The sale will begin from the third quarter of 2015, according to media reports.

Meanwhile, Sun Pharma's futures gained for the 3rd day, rising 28.50 rupees, or 3.2 percent, to 910 rupees on the National Stock Exchange. More than 18,500 contracts were traded by noon, which is already 10 percent higher than Thursday's total volume. The stock is at its highest since July 20th.

Sun's Futures are exhibiting short covering in the derivatives market as the stock had fallen off sharply after giving a profit warning in its first quarter earnings, earlier in July.

Sun Pharma's market capitalisation has gained 11 percent in one year to 2.17 lakh crore rupees, making it India's most valuable pharma company. The stock trades at 8 times its book value of 113 rupees.

Shares of Sun Pharma have fallen 22 percent from its most recent peak of 1,169 rupees hit in early April as investors grappled with its acquisition of a smaller rival Ranbaxy.

Image credit: Indiatimes