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Sun Pharmaceutical Industries shares fell after the company agreed to U.S. drug-pricing terms.
The deal extends Most Favored Nation pricing to state Medicaid programmes and future innovative medicines.
In return, the company secured a delay in Section 232 tariffs for more than two years.
The White House said the agreement also includes contributions to the Strategic Active Pharmaceutical Ingredients Reserve.
Why it mattersThe stock move shows how US pricing and tariff policy can quickly alter investor expectations for Sun Pharma and Indian pharma exports.
More context
Company officials said the remaining terms are confidential.
The financial impact has not been quantified.