Strides Arcolab hits a new high

Strides Shasun, which continues to be traded on the bourses as Strides Arcolab hit a new high today at Rs. 1,412.45. It has since then come off the highs and is now at Rs.1392 levels, nevertheless up in the green, almost 2.5%.

The stock is jubilant on news that it has received the nod from the US FDA to make and sell dutasteride capsules in strengths of 0.5 milligram. Dutasteride is used to shrink enlarged prostate and make it easier for men to urinate. It also lowers the need for surgery.

This is great news for the company as this drug was being sold by GlaxoSmithKline as Avodart and it was a huge hit. The generic version of this drug is known as Dutasteride and it went off patent on Friday. Strides Shasun was amongst the first few companies to get this approval.

It’s a huge market for Dutasteride in the US, which, according to IMS Health is a market worth around $740 million. Strides will be making the drug in the company’s oral dosage facility in Bengaluru.