Wockhardt corrects after blockbuster run on antibiotic approval

Wockhardt shares tumbled 8.16% to Rs 1,976.35 on Tuesday as investors booked profits following a sharp rally triggered by the recent U.S. FDA approval of its novel antibiotic, ZAYNICH.

The stock had surged 36.60% over the previous five trading sessions after the company announced that the U.S. Food and Drug Administration had approved ZAYNICH for the treatment of adults with complicated urinary tract infections (cUTI), including pyelonephritis.

Investor sentiment has remained buoyant following the regulatory milestone. The stock gained 15.50% over the past week, advanced 41.12% in the last month and is up 38.42% so far in 2026.

The approval comes days after ZAYNICH received marketing approval in India on 27 May 2026. Wockhardt said the drug is the first new chemical entity fully discovered, developed and commercialised by an Indian pharmaceutical company to secure approval from the U.S. FDA.

 

ZAYNICH combines cefepime, a fourth-generation cephalosporin antibiotic, with zidebactam, a novel beta-lactam enhancer. The therapy is designed to combat multidrug-resistant Gram-negative bacteria, including strains resistant to many existing antibiotics.

The FDA's decision was supported by data from the global Phase 3 ENHANCE-1 trial involving 530 patients across 64 sites worldwide. According to the company, ZAYNICH achieved a combined clinical cure and microbiological response rate of 89% at the test-of-cure visit, compared with 68.4% for meropenem.

The drug has also been granted Qualified Infectious Disease Product (QIDP), Fast Track and Priority Review designations by the U.S. regulator. Wockhardt has additionally submitted a marketing authorisation application for the product to the European Medicines Agency.

Wockhardt is a research-driven pharmaceutical and biotechnology company focused on anti-infective therapies. The company currently has six antibiotics at various stages of development and commercialisation, all of which have received QIDP designation from the U.S. FDA.

For the quarter ended March 2026, Wockhardt reported a consolidated net profit of Rs 164 crore, compared with a net loss of Rs 45 crore in the corresponding period last year. Revenue from operations rose 29.87% YoY to Rs 965 crore.

Powered by Capital Market - Live News