In today’s intraday session, shares of Orchid Pharma Ltd gained as much as 5%. The counter hit an upper circuit at ₹740.10 on BSE.
The stock is trading in a growth momentum for yet another day. This winning streak is fueled by a strategic move to reclaim the company’s global rights to its breakthrough antibiotic.
The company further announced that it is planning to buy back 100% stake in its novel antibiotic Enmetazobactam. This drug was originally discovered and developed in-house by the company.
The Germany-based Allecra Therapeutics marketed this drug as EXBLIFEB and as Orblicef in India. This drug has been out-licensed by Orchid in 2013.
In a recent development, the business informed the bourses and shareholders that it has now acquired full global rights from Allecra. This move comes after EXBLIFEB secured regulatory approval from the European Medicines Agency in January 2024. Additionally, it also received USFDA approval in February 2024.
At around 12.53 PM, Orchid Pharma was trading 5% higher at ₹740.40, against the previous close of ₹705.15 on NSE.
Prior to this deal with Orchid Pharma, regional rights of the stated drug were out-right to Shanghai Haini for China. As per the transaction details shared by the company, this transaction is carried out at an aggregate value worth $78 million in 2020, and to Advanz Pharma for the EU market.
As per the industry estimates, the drug has a global peak sales potential for the drug at $150-200 Million.
