Natco Pharma rallies 7% as firm seeks nod for Covid medicine Molnupiravir

Pre-clinical data have shown that Molnupiravir has broad anti-influenza activity, including highly potent inhibition of Covid-19 replication

Investors rushed to pick shares of Natco Pharma on the BSE on Monday as the firm sought Central Drugs Standard Control Organization's (CDSCO's) for approval of Phase-III clinical trial of Molnupiravir Capsules for the treatment of Covid-19 positive patients. At 11:30 am, shares of the pharmaceutical firm were ruling 5 per cent higher on the BSE, at Rs 923 apiece, as against a 1.4 per cent rise in the benchmark S&P BSE Sensex. In the intra-day deals, the shares surged 7.5 per cent to Rs 944 per share on the BSE. 

"Pre-clinical data have shown that Molnupiravir has broad anti-influenza activity, including highly potent inhibition of SARS-CoV-2 replication. Patients treated with Molnupiravir achieved response within 5 days of therapy indicating that the duration of treatment with Molnupiravir is short, with the additional advantage of being an oral therapy," the firm said in an exchange filing.

The firm is hoping that CDSCO would give emergency approval of this drug based on "compassionate use" for patients which is given for investigational drugs so a patient with an immediately life-threatening condition can gain access to the drug. "The company is ready to launch the product this month if approval is given," it added. READ HERE

India reported 352,991 fresh coronavirus infections on Sunday, taking the cumulative caseload to 17,313,163, according to MoHFW. Amid oxygen shortage and faltering health system in the country, India saw 2,812 deaths in highest single-day spike. The death toll from the deadly infection stands at 195,116. The country now has more than 2.8 million active cases.

So far in the current calendar year, the stock has tumbled 8.7 per cent on the BSE, as against an over 2 per cent rise in the 30-share barometer. However, over the past one month, the stock has advanced 8 per cent on the BSE compared with a 4.3 per cent decline in the benchmark Sensex index. 

Going-forward, analysts believe the pharma sector is set to shine in the financial year 2021-22 as the fatal Covid-19 makes an ugly comeback. The opening up of the Covid-19 vaccination programme to 18+ will create a huge pool of demand and that will, in itself, generate substantial domestic revenues. This could be a repeat revenue stream since Covid vaccines will probably be an annual affair until the pandemic is beaten.

Apart from that, the industry had an excellent 2020-21, with exports surging 18.7 per cent to $24.44 billion spurred by strong demand for generic drugs. This was the best growth rate in many years, despite the global pharma market shrinking and despite the first quarter (April-June 2020) being hit by lockdowns. In the previous 2019-20 fiscal, exports increased by 7.57 per cent to $20.58 billion. READ ABOUT IT HERE