Divi's Laboratories Ltd saw a drop of almost 3% in its share price on December 5th, trading at Rs 6,078.6 per share. This decline was a result of a recent US court ruling that allows MSN Pharmaceuticals to proceed with a generic version of Novartis' heart drug, Entresto.

The ruling was made by the US Court of Appeals for the Federal Circuit, which upheld a previous decision by a Delaware federal judge. The judge had determined that Novartis could not prove a strong likelihood of success in its patent lawsuit against MSN. As a result of this ruling, MSN will be able to launch the first US generic version of Entresto, which is a highly popular medication.

Divi's Labs has a contract with Novartis for the contract development and manufacturing organization (CDMO) services related to Entresto. The market capitalization of Divi's Labs is currently Rs 1.6 lakh crore, and its 52-week trading range is between Rs 3,350 and Rs 6,285.45.