Shares of Aurobindo Pharma Ltd declined by up to 2.5 percent on Monday in its second day of losses after hitting record high levels last week. The stock is witnessing a bout of profit booking after surging nearly 40 percent over the last three months.
Hyderabad-based Aurobindo Pharma is building up momentum in the biosimilar space with its second announcement in a week about the commercialisation of a biosimilar product.
The company on Friday announced that its wholly-owned subsidiary CuraTeQ Biologics has entered into an exclusive licensing agreement with US-based BioFactura for the commercialisation of BFI-751, a proposed biosimilar to Stelara or Ustekinumab.
Ustekinumab is used to treat Crohn’s, Ulcerative colitis, plaque psoriasis, arthritis.
CuraTeQ will commercialise the biosimilar on an exclusive licence right basis in the US, EU, the UK, Canada, ANZ and certain other semi-regulated and emerging markets worldwide.
Under the agreement, BioFactura will receive licensing fees of a total of not exceeding USD 33.5 million spread across different milestones.
The trial was of a total of 690 patients. The biosimilar is used for treatment of breast cancer.
The company told analysts in May that it was bringing in biosimilars into the regulated market and it was hopeful of having at least one product in the market by the end of this year.
Next year, it expects at least 2 to 3 products in the European market with its first filing happening in the US market. It expected the inflection point for biosimilars to start from FY 2025-26.
Shares of Aurobindo Pharma are trading 1.6 percent lower at Rs 733.85.
