Panacea Biotec spurts on bagging orders from U.N. Agencies

Panacea Biotec jumped 5.19% to Rs 131.75 after the company said it received orders worth over Rs 170 crore for Pentavalent vaccine from U.N. agencies.

Panacea Biotec received orders worth $24.32 million (over Rs 170 crore) from U.N. agencies (UNICEF and PAHO) for supply of its Easyfive-TT, a fully liquid WHO prequalified wP based Pentavalent vaccine (DTwP-HepB-Hib).

UNICEF award is for calendar year 2020 and award of PAHO is for three calendar years i.e. 2020-2022. The announcement was made during market hours today, 19 December 2019.

Pediatric vaccination plays an important role to achieve sustainable development goals set by the United Nations, in particular the target to reduce under-five mortality rate to less than 25 per 1000 live births. Pentavalt vaccine protects children against five deadly diseases; Diphtheria, Tetanus, Pertussis, Hepatitis B and invasive infections caused by Haemophilus Influenza Type b becoming the foundation of paediatric immunization programs across the world.

Easyfive-TT was introduced by Panacea Biotec as world's first fully liquid wP-based pentavalent vaccine in Indian market in year 2005. With WHO prequalification in 2008, over 100 million doses have been supplied to more than 50 countries globally. Easyfive-TT is ready for use without further preparation by healthcare workers n the field, which offers major healthcare advantages in countries with challenging infrastructure and hygiene problems.

Shares of Panacea Biotec surged 17.58% in three trading sessions to its current market price of Rs 131.75 from its recent closing low of Rs 112.05 on Monday, 16 December 2019.

The Nifty 50 index rose 1.90 points or 0.02% at 12,223.55.

In the past one month, shares of Panacea Biotec rose 4.27% to its current market price of Rs 131.75, outperforming the Nifty Pharma index's 3.07% rise in the same period.

On the technical front, the stock's RSI (relative strength index) stood at 49.820. The RSI oscillates between zero and 100. Traditionally the RSI is considered overbought when above 70 and oversold when below 30.

The stock was currently trading above its 50-day moving average (DMA) placed at Rs 129.42 but well below its 200 DMA placed at Rs 156.33.

On a consolidated basis, Panacea Biotec reported a net loss of Rs 59.61 crore in Q2 September 2019 as against a net loss of Rs 49.50 crore in Q2 September 2018. Net sales rose 4% to Rs 125.18 crore in Q2 September 2019 over Q2 September 2018.

Panacea Biotec's principal business activity is the manufacture of allopathic pharmaceuticals preparations. The firm's segments include vaccines, formulations, research and development; healthcare and real estate activities.

Powered by Capital Market - Live News