The shares of one of the leading Pharmaceuticals stocks, specializes in the manufacturing of Active Pharmaceutical Ingredients (APIs), intermediates, formulations, and nutraceuticals, jumped up to 16 percent upon securing exclusive licensing rights for sale of Magnesium L Threonate in India.
Price action
With a market capitalization of Rs. 1,774.66 crores on Friday, the shares of Bajaj Healthcare Limited is trading at Rs. 643.20 up by 16.4 percent making a high of Rs. 654 per share compared to its previous closing price of Rs. 561.55 per share.
What Happened
Bajaj Healthcare Limited specializes in the manufacturing of Active Pharmaceutical Ingredients (APIs), intermediates, formulations, and nutraceuticals. The company has secured exclusive rights from Threotech LLC for the manufacturing, distribution, and sale of the finished formulation of Magnesium L Threonate (Magtein®) in India.
Along with it, the company will have the opportunity to enter into marketing collaborations with leading pharmaceutical firms in India. Bajaj Healthcare, which is already supplying the API for Magtein® in the U.S., where the brand has a sales value of approximately USD 438 million, will now strengthen its presence in the Indian market.
This new development further strengthens Bajaj Healthcare’s position as a trusted partner in the pharmaceutical industry, leveraging its strong domestic presence and manufacturing expertise to tap into the growing market potential for Magnesium L Threonate in India.
Business segment
Segment I: Active Pharmaceutical Ingredients (APIs)
Bajaj Healthcare is a major API manufacturer in India, exporting to over 50 countries. API manufacturing contributes over 90 percent of its revenue, with a capacity of 730 MT per month. The company focuses on R&D to support continuous growth.
Segment II: Finished Dosage Formulations (FDFs)
Bajaj Healthcare’s manufacturing facility is compliant with USFDA, TGA (Australia), and MHRA (UK) standards. The company offers tablets, capsules, and oral powders, all available in bulk quantities, contributing 10 percent to total revenue. Its automated processes ensure high-quality production.
Segment III: Intermediates
Bajaj Healthcare manufactures intermediates such as CPCC and Chlorhexidine, with an annual capacity of 94 MT. These intermediates support API and FDF production, enhancing cost-effectiveness and economies of scale.
Financials
The company’s revenue rose by 32.4 percent from Rs 102.43 crore to Rs 135.7 crore in Q2FY24-25. Meanwhile, Net profit rose from a loss of Rs 3.46 crores to a profit of Rs 9.46 crore during the same period.
Written by Sridhar J
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