Remain bullish on pharma sector: Deven Choksey

In a chat with ET Now, Deven Choksey, MD, KR Choksey Securities, shares his views on the pharma sector.

ET Now: How do you react to all the news flow there has been in the pharmaceutical space? What are the ideas that you are propagating there, especially the likes of Lupin signing the deal with Merck and the other deals have also happened today, like Sun Pharma's deal to tie up?

Deven Choksey: Lupin would be positive and most of the pharma companies would also remain positive though it is little early days to make a full judgmental call on this particular aspect. But the way in which Sun Pharma has signed up the deal, it appears that when products into their final clinical stages get commercial success, there is a fear of getting tied up with the innovator of the product, which the majors of the world would do with the companies in such situation.

Indian companies do this particular tie up with some of the world majors when they develop the product at an advance stage of clinical trial. To my mind this could be a new success story for many of the pharma companies.

I would definitely put my argument a little bit cautiously at this point of time because this is a beginning of a particular trend which is emerging.

Should it succeed, probably we could see a huge amount of success coming into many of the Indian pharmaceutical companies going forward. I remain bullish on pharmaceutical but would like to keep individual stocks in the watch list and buy them when the market gives opportunity at lower levels.