Natco Pharma extends gains

Natco Pharma rose 1.09% to Rs 524 at 13:47 IST on BSE, with the stock extending a rally registered during the previous trading session triggered by an announcement related to a generic drug.

Meanwhile, the S&P BSE Sensex was down 16.20 points or 0.06% at 26,826.83.

On BSE, so far 45,000 shares were traded in the counter as against average daily volume of 65,424 shares in the past one quarter. The stock hit a high of Rs 530.60 and a low of Rs 505.10 so far during the day. The stock had hit a record high of Rs 623.60 on 5 January 2016. The stock had hit a 52-week low of Rs 382.20 on 24 August 2015. The stock had outperformed the market over the past one month till 3 June 2016, advancing 11.39% compared with Sensex's 6.39% rise. The scrip had, however, underperformed the market in past one quarter, gaining 8.15% as against Sensex's 9.09% rise.

The mid-cap company has equity capital of Rs 34.83 crore. Face value per share is Rs 2.

Shares of Natco Pharma have surged 9.72% in two trading sessions from its close of Rs 477.55 on 2 June 2016. The stock surged 8.54% to settle at Rs 518.35 during the previous trading session on Friday, 3 June 2016, on the back of the company's announcement that its marketing partner Mylan Inc. has received a tentative approval for its abbreviated new drug application (ANDA) for Sorafenib Tablets, 200mg from the United States Food and Drug Administration (USFDA). The drug is the generic version of NEXAVAR, which is indicated for the treatment of certain types of cancers including unresectable hepatocellular carcinoma and advanced renal cell carcinoma. Natco Pharma and Mylan have filed an ANDA containing a Paragraph IV certification for this product. Natco Pharma manufactures this product at its facility in Kothur, Telangana.

Bayer Healthcare LLC, Bayer Healthcare Pharmaceuticals Inc. and Onyx Pharmaceuticals Inc. sell Sorafenib Tablets, 200mg, under the brand name NEXAVAR in the US market. As per Bayer's annual report, the NEXAVAR brand had sales of approximately $300 million in the US for the 12 months ending 31 December 2015.

Natco Pharma's consolidated net profit rose 10.7% to Rs 60.24 crore on 103% growth in net sales to Rs 386.77 crore in Q4 March 2016 over Q4 March 2015.

Natco Pharma manufactures generic dosage forms, bulk actives and intermediates for the Indian and international markets.

Powered by Capital Market - Live News