Orchid Pharma rises 4% on deal with Cipla to roll out new UTI drug in India

Orchid Pharma in focus: Shares of pharmaceutical company Orchid Pharma surged as much as 4.23 per cent to hit an intraday high of Rs 1,188.10 per share on Monday.

The rise came following Orchid Pharma's announcement of a collaboration with pharmaceutical giant Cipla to introduce the antibiotic Cefepime-Enmetazobactam in India. 

Cefepime-Enmetazobactam in used to treat complicated urinary tract infection (cUTI),  Hospital-Acquired Pneumonia (HAP) and Ventilator-Associated Pneumonia (VAP) indications. 

According to Orchid Pharma, the launch of Cefepime-Enmetazobactam represents a major achievement for India's pharmaceutical sector in combating antimicrobial resistance (AMR), a growing global health concern. The collaboration underscores India's leadership in medical innovation. Orchid Pharma and Cipla expressed confidence that their partnership will establish new standards in addressing critical healthcare challenges through advanced research and strategic alliances.

"With increasing resistance to the current drugs most commonly used for treatment of these indications – e.g. Piperacillin-Tazobactam for cUTI – doctors were forced to start using Carbapenems – a reserve drug meant to be used when most other drugs don't work. Now, Orchid's Cefepime-Enmetazobactam will allow doctors to spare Carbapenems, prolonging their effective life by restricting their use," said Manish Dhanuka, managing director of Orchid Pharma.

Orchid Pharma further stressed that their joint efforts with Cipla will facilitate the rapid distribution of Cefepime-Enmetazobactam throughout India. 

This initiative aims to alleviate the increasing resistance observed with current treatment options like Piperacillin-Tazobactam for cUTI, thereby preserving Carbapenems as reserve drugs for severe cases where other treatments fail, Orchid Pharma added.

Umang Vohra, managing director & global chief executive officer, Cipla, said, “AMR is an urgent and serious healthcare challenge that needs global attention. With the rising incidence of potentially-life threatening infections, there is a strong need for novel anti-infectives in the effective treatment of MDR infections. This partnership enhances Cipla’s commitment to AMR stewardship and strengthens our efforts to combat infectious diseases and deliver advanced, innovative therapies to patients.”  

Set up in 1992 as an export-oriented unit (EOU), Orchid Pharma Ltd. (Orchid) is a fully integrated pharmaceutical company that covers the entire spectrum of the pharmaceutical industry, including research, manufacturing, and marketing.

Orchid stands out as the sole Indian pharmaceutical company to have developed a New Chemical Entity (NCE), which has been licenced out on a royalty model and approved in the US and Europe.

A pioneer in the production of high-quality cephalosporins, particularly sterile products, Orchid operates one of only three United States Food and Drug Administration (USFDA)-approved facilities globally, and the sole representative from India. 

Additionally, the facility holds approvals from EU GMP, ANVISA, and PMDA, further underlining its commitment to international quality standards.

At 11:11 AM, shares of Orchid Pharma were trading 0.64 per cent higher at Rs 1,147.20. In comparison, BSE Sensex was trading 0.23 per cent higher at 79,218.32 levels.