Indian Pharma Stocks Hit by Worries on U.S. Drug Price Pressures

Stocks of Indian pharmaceutical companies, which are collectively the second-biggest suppliers of generic medicines to the U.S., plunged amid mounting concerns about potential pressures on drug prices there after revelations of a Justice Department probe into industry collusion.

An antitrust investigation by the Justice Department spanning more than a dozen companies from around the world is examining whether some executives agreed with one another to raise prices on generic medicines in the U.S., people familiar with the matter told Bloomberg News.