Shares of pharmaceutical companies were trading higher for a seventh consecutive session on Thursday, with the Nifty Pharma index gaining 12% during this period, compared to a 2% rise in the Nifty 50 index.
At 03:16 pm; the Nifty Pharma index, the sole gainer among sectoral indices, was up 2% at 9,124 on the National Stock Exchange (NSE). The index hit an intra-day high of 9,132, bouncing back 2.3% from its early morning low of 8,923. On comparison, the Nifty 50 index was trading 0.49% lower at 10,803.
Analysts attribute the run-up to positive corporate announcements on the US drug regulatory front.
Aurobindo Pharma was up 4% to Rs 611, extending its 10% rally in past seven trading days. On Friday, June 8, the company announced that it has received final approval from the US Food & Drug Administration (USFDA) to manufacture Omeprazole delayed-release tablets OTC, 20mg.
Omeprazole tablets are indicated for the treatment of frequent heartburn (occurs 2 or more days a week). The estimated market size of Prilosec OTC tablets is US$ 222 million for the twelve months ending March 2018, according to Nielsen data.
Lupin was up 3% to Rs 897, surging 18% in past seven trading sessions, after the company today announced that it has received final approval fonts Drospirenone, Ethinyl Estradiol, Levomefolate Calcium Tablets and LevomefolateCalcium Tablets, 3 mg/0.02 mg/0.451 mg and 0.451 mg, from the USFDA to market a generic version of Bayer HealthCare Pharmaceutical Inc.'s (Bayer) Beyaz tablets.
It is indicated for use by women to prevent pregnancy; treat symptoms of premenstrual dysphoric disorder (PMDD) for women who choose to use an oral contraceptive for contraception; treat moderate acne for women at least 14 years old, only if the patient desires an oral contraceptive for birth control; and raise folate levels in women who choose to use an oral contraceptive for contraception, Lupin said in a press release.
On Wednesday, Lupin said that it has launched its antibiotic Tobramycin inhalation solution in the US market. The company has launched the product as it has received an approval from the USFDA earlier. The company’s Tobramycin Inhalation Solution USP, 300 mg/5 ml, is the generic version of Novartis Pharmaceuticals Corporation’s Tobi 300 mg/5 ml, it added.
Sun Pharmaceutical Industries was up 2.4% to Rs 559, surging 18% in past seven trading sessions, due to the resolution of regulatory compliance issues at Halol plant.
“Halol clearance is a positive development for Sun, as approvals have been delayed for the past three years. The company has 139 pending Abbreviated New Drug Application (ANDA), of which the Halol site is a key contributor in terms of pending ANDA and some might be of limited competition in nature,” said analysts Elara Capital in a note.
“U.S. business expected to benefit from new launches. We expects margins to expand in the next two years because of better product mix and cost-control measures,” the brokerage firm said in stock update with maintain ‘buy’ rating on the stock and revised price target of Rs 625 per share.
|J B CHEM & PHARM||278.30||269.05||3.44|
|CAPLIN POINT LAB||478.90||466.05||2.76|
|SUVEN LIFE SCIE.||233.25||228.75||1.97|
|BLISS GVS PHARMA||184.25||181.95||1.26|