Natco Pharma extends rally on USFDA nod for Armodafinil tablets

The stock rallied 9% to Rs 1,438, extending its previous day's 4% gain on National Stock Exchange.

Natco Pharma has rallied 9% to Rs 1,438, extending its previous day’s 4% gain, after the company said its marketing partner in the US, Breckenridge Pharmaceutical, Inc., received a tentative approval from the US FDA for Armadafinil 50 mg, 150 mg, and 250 mg tablets. Armadafinil is a generic tablet used for improving wakefulness in adults.

Natco and Breckenridge have entered into a settlement regarding the ANDA with Cephalon, the company added but did not give details saying the terms are confidential.

"Cephalon has granted Natco and Breckenridge a license to market generic versions of the 50mg, 100mg, 150mg, 200mg and 250mg strengths of Nuvigil, beginning 180 days after the initial launch of these strengths," Natco Pharma said.

According to IMS Health, the market size of Nuvigil in the US is around $457 million for twelve months ending August 2014, it added.

The stock opened at Rs 1,332 and touched a high of Rs 1,453 on NSE. A combined 99,122 shares changed hands on the counter till noon deals on NSE and BSE.