Synopsis:
Indian CDMO shares surged on October 10 after the U.S. Senate passed the Biosecure Act, boosting prospects for Indian biotech exporters as the Act limits federal procurement from Chinese companies.
Shares of Indian Contract Development and Manufacturing Organization (CDMO) players rallied on October 10 following the U.S. Senate’s passage of the Biosecure Act. The legislation, embedded within the National Defense Authorization Act (NDAA), passed with 77 votes in favor and 20 against.
The Act restricts federal agencies from procuring, contracting with, or using biotech equipment or services from companies of concern originating from China, creating potential opportunities for alternative global suppliers.
According to sources, India, which has the highest number of USFDA-approved plants outside the United States, stands to gain from this development. Imports from India have surged from $6 million in CY00 to $11 billion in CY2023, reflecting India’s capacity to provide high-quality, cost-efficient alternatives to China.
1. Divis Laboratories Ltd
Incorporated in October 1990, Divi’s Laboratories is a leading pharmaceutical company specializing in Generic APIs, Custom Synthesis, and Nutraceuticals. Promoted by Dr. Murli K. Divi, the company caters to diverse therapeutic segments including cardiovascular, anti-inflammatory, anti-cancer, and central nervous system drugs. Divi’s operates seven manufacturing units and three R&D centers across Telangana and Andhra Pradesh and boasts a portfolio of over 160 products, making it one of India’s largest pharmaceutical firms.
The company has a market cap of Rs. 171,975.86 crore, with the stock previously closing at Rs. 6,131.85. It opened at Rs. 6,102.05 and touched a high of Rs. 6,508.80, marking an intraday rise of approximately 6.2 percent.
2. Syngene International Ltd
Syngene International is an integrated research, development, and manufacturing services provider catering to global pharmaceutical, biotechnology, nutrition, animal health, consumer goods, and specialty chemical sectors. With over 5,600 scientists, Syngene delivers robust scientific expertise, strong data security, and scalable manufacturing to accelerate time-to-market while lowering innovation costs. Its 2.5+ million sq. ft. specialized facilities support around 400 global customers, including major players like BMS, GSK, Zoetis, and Merck KGaA.
Syngene has a market cap of Rs. 26,251.50 crore, with its previous close at Rs. 637.80. The stock opened at Rs. 632.25 and reached a high of Rs. 656.20, rising roughly 2.9 percent intraday.
3. Neuland Laboratories Ltd
Neuland Laboratories has spent over four decades at the forefront of API manufacturing, serving customers in nearly 80 countries. The company has developed more than 300 processes, 100 APIs, and filed around 980 regulatory submissions worldwide, including 72 active US DMFs. Its cGMP-certified facilities hold approvals from U.S. FDA, TGA, EDQM, EMA, Health Canada, PMDA, and several other global regulators, highlighting its reputation for quality and reliability.
Neuland has a market cap of Rs. 20,928.63 crore. The stock previously closed at Rs. 15,713.90, opened at Rs. 15,684.30, and surged to a high of Rs. 16,476.75, registering an intraday increase of approximately 4.9 percent.
4. Jubilant Pharmova Ltd
Jubilant Pharmova Limited operates globally across Radiopharma, Allergy Immunotherapy, CDMO Sterile Injectables, CRDMO, Generics, and Proprietary Novel Drugs. Its Radiopharma division supplies radiopharmaceuticals through 45 U.S. pharmacies, while its Allergy Immunotherapy segment produces allergic extracts and venom products.
The CDMO Sterile Injectables division provides fill-and-finish, lyophilization, ophthalmic manufacturing, and ampoule services, complemented by the CRDMO segment in Bengaluru, Noida, and France. Jubilant Therapeutics focuses on developing novel oncology and autoimmune therapies.
The company has a market cap of Rs. 17,837.10 crore, with a previous close of Rs. 1,095.70. It opened at Rs. 1,099.15 and reached a high of Rs. 1,136.90, posting an intraday rise of around 3.8 percent.
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5. Piramal Pharma Ltd
Piramal Pharma Limited offers a portfolio of differentiated pharmaceutical products and services across 17 global development and manufacturing facilities. Its Piramal Pharma Solutions (PPS) operates as an integrated CDMO, while Piramal Critical Care (PCC) focuses on complex hospital generics.
The Piramal Consumer Healthcare division markets over-the-counter wellness products, and its joint venture with Abbvie has become a market leader in ophthalmology in India. Additionally, the company holds a strategic minority stake in Yapan Bio Private Limited, active in biologics, bio-therapeutics, and vaccines.
Piramal Pharma has a market cap of Rs. 26,817.58 crore. The stock previously closed at Rs. 197.65, opened at Rs. 197.65, and hit a high of Rs. 206.50, reflecting an intraday gain of approximately 4.5 percent.
6. Laurus Labs Ltd
Laurus Labs is a research-driven pharmaceutical and biotechnology company focusing on APIs and Finished Dosage Forms across anti-retroviral, oncology, cardiovascular, and gastro therapeutics. Known for strong backward integration and strict quality standards, Laurus provides end-to-end CDMO services from early-stage development to commercial production.
Employing over 7,042 people, including 2,632 scientists, the company operates 15 facilities approved by global regulators such as USFDA, WHO, and EMA, and follows a “Smart and Green” chemistry approach for sustainable operations.
The company has a market cap of Rs. 47,334.55 crore, with a previous close of Rs. 867.45. It opened at Rs. 873.85 and reached a high of Rs. 890.95, marking an intraday increase of roughly 2.7 percent.
Written by – Manan Gangwar
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