Shares of Caplin Point Laboratories
hit a record high of Rs 944 as they rallied 19 per cent on the BSE in intra-day trade on Monday in an otherwise subdued market. At 12:56 pm, the stock of the pharmaceutical company was trading 18 per cent higher at Rs 935 on the back of a 10-fold jump in trading volumes. At the same time, the S&P BSE Sensex was trading flat at 52,980 points.
A combined 5.8 million equity shares, representing 7.6 per cent of the total equity of Caplin Point Laboratories, had changed hands on the NSE and BSE so far.
In the past seven trading days, the stock price of Caplin Point Laboratories
has surged 37 per cent after its subsidiary company Caplin Steriles received approval from the US health regulator for generic Sumatriptan injection used for acute treatment of migraine and cluster headache.
“Caplin Steriles has been granted final approval from the United States Food and Drug Administration (USFDA) for its Abbreviated New Drug Application (ANDA) Sumatriptan Injection USP, 6 mg/0.5 mL (12 mg/mL) single-dose vials. The product is a generic therapeutic equivalent version of (RLD), IMITREX Injection, of GlaxoSmithKline, USA,” Caplin Point Laboratories
said in a press release.
Sumatriptan Injection USP is indicated in adults for acute treatment of migraine with or without aura, and acute treatment of cluster headache. Sumatriptan Injection had US sales data of approximately $5 million for the 12-month period ending March 2021, for vial presentation, according to IQVIATM (IMS Health).
Caplin Point Laboratories is a fast-growing pharmaceutical company with a unique business model catering predominantly to emerging markets
of Latin America and Africa. The company’s subsidiary Caplin Steriles caters to the regulated markets
for injectable and ophthalmic products.
Caplin had posted strong Q4FY21 and FY21 results. After scripting a unique story by growing in uncharted territories, it is now looking at growth in known markets.
"These new markets of South America and the US are a big opportunity but fraught with new challenges. That said, we continue to believe in Caplin’s capability to replicate the success story in new markets. Secondly, despite likely dent in margins, return ratios due to investment phase in new markets, these prints continue to demonstrate earnings, balance sheet strength," analysts at ICICI Securities had said in the March quarter result update.
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.