Natco Pharma soars on drug licensing deal

MUMBAI: Drug maker Natco Pharma rose as much as 19 per cent after it struck a licensing and supply deal with US-based Mylan for its generic version of multiple sclerosis drug, Copaxone, which is used to treat multiple sclerosis. At 11:20 am, the Natco Pharma share eased from the early high, but was trading up 15.47 per cent at Rs 82.50 with volume traded at 1,39,681 against two-week average of 20,511 shares.

The agreement grants Mylan exclusive distribution rights in the US and all major markets in Europe, Australia, New Zealand, Japan and Canada and includes an option to expand into additional territories. Natco has commercialised its glatiramer acetate product in India and the Ukaraine.

"We are happy for this agreement with Mylan," Natco chief operating officer and director Rajeev Nannapaneni. Apart from its expertise regulatory applications, Mylan's presence in 90 countries and a broad portfolio would enable the Natco's glatiramer acetate product to be available to a wide patient base, he said.

Natco has US Food and Drug Administration (US FDA)-approved manufacturing facilities both for active pharmaceutical ingredients (APIs) as well as finished dosage pharmaceutical formulations, according to a release on Tuesday.