Biocon hits a new high

Biocon is the news maker today morning. The top gainer on the BSE, it first breached the UC at Rs.491.20, going on to hit a new high at Rs.510. On Friday, it had closed at Rs. 446.55.

The stock has zoomed up today on the very good news that the US FDA has approved the biosimilar used for treating breast and stomach cancers.

To be sold under the brand name of Ogivri, this drug is a biosimilar to Roche Holdings AG’s Herceptin. This is the first ever biosimilar to be approved by the FDA which is from a joint portfolio in the USA.

The company has stated that Herceptin, for the 12 months ending 30th Sept’17 had clocked a sales of US$2 billion.

The commercial launch is expected to happen sometime in 2019 and the full financial impact will be seen from FY21. Mylan holds now the exclusive rights to market Ogivri in US, Canada, Japan, Australia, New Zealand and in the EU and Biocon holds co-exclusive commercialization rights with Mylan for Ogivri for rest of the world.