Revenues to start coming in by June: Elder Pharma

Excerpts from Closing Bell on CNBC-TV18 Watch the full show » RELATED NEWS Elder Pharma's traditional biz to spur growth Buy Elder Pharma; target of Rs 508: Sharekhan Elder Pharma joins hands with Spanish co Elder Pharma in alliance with Laboratorios Farmacéuticos ALSO READ See latest News about Elder Pharma See previous management interviews See what other Experts & Brokerages are saying about Elder Pharma Elder Pharma BSE | NSE 10/02/12 Are Mutual Funds betting on Elder Pharma?

The news is that Elder Pharmaceuticals have entered into an alliance with a Spanish company, selling one of their very large selling products in the Spanish market.

Alok Saxena, Director-International at Elder Pharmaceuticals  says that the revenues from this product will start coming in by June this year and hopes to get 10% share in the first year of its launch.

Excerpts from CNBC-TV18's exclusive interview with Alok Saxena:

Q: What exactly is the deal with this Spanish company?

A: It is a licensing deal, which we have from Laboratorios Farmaceuticos Rovi - a large company in Spain. It is a Heparin-based product, which has given us the rights for India and the neighbouring countries. It is a very unique product and is still on patent and the product is called Bemiparin and we should be launching this product in India in the next two to three months time. 

 

Q: What sort of sales does this product have in India already and who is marketing it at this point?

 

A: There are a few companies marketing it. This product is unique because there is no competition for it. The market for this is around Rs 200 crore and we are eyeing a share of about 10% in the first year of launch.

 

Q: Which other markets will you sell this product in, other than India?

 

A: We are currently looking at neighbouring countries like Bangladesh and Sri Lanka and are looking at some other markets for registration, but right now it will be the Indian and the Bangladeshi markets, which we are looking to market this product in.

 

Q: When is it that you actually begin sales, which will start showing up in your numbers?

 

A: The products will be launched in May and we will start generating the first revenues from June.

 

Q: How can you sell both in India and Bangladesh after the World Cup?

 

A: We are registring simultaneously; the Bangladesh product will be sold by a distributor there, but will be launched at almost the same time.