Wockhardt gets USFDA approval to market generic Flonase

10222 Investors following Wockhardt. Share this News with them.

0

Like this story, share it with millions of investors on M3

Wockhardt gets USFDA approval to market generic Flonase

Wockhardt started with gains of around 3% and inched up higher at around 15% in today's trade. From its stable, Wockhardt has launched the generic version of Flonase, reports CNBC-TV18's Ekta Batra.

Post your opinion here

 

0

Tweet

Share on Tumblr

Excerpts from After the Bell on CNBC-TV18 Watch the full show » Wockhardt BSE | NSE 30/05/12 Are Mutual Funds betting on Wockhardt?

Wockhardt started with gains of around 3% and inched up higher at around 15% in today's trade. From its stable, Wockhardt has launched the generic version of Flonase, reports CNBC-TV18's Ekta Batra.

It is a nasal spray which is used in treating people suffering from Rhinitis. This is a limited competition drug. The product had to have clinical trials conducted making it expensive. The competition going forward in the existing market is extremely limited.

"The company has received final approval from the United States Food and Drug Administration (USFDA) for marketing 50 mcg nasal spray of Fluticasone which is used in treatment of allergic rhinitis," Wockhardt said in a statement.

The market size of Flonase itself is around USD 580 million in the US currently and there are only three other generic players who are present in the market, making Wockhardt the fourth company that launches this particular nasal spray.

The current companies present in this space are Roxane which launched in 2006 and another one which launched in 2007 and Hi-Tech Pharma which launched in January 2008. Hi-Tech Pharma in terms of it's earnings and quarterly numbers did around USD 23 million just within one quarter on sales of Flonase and annual sales of around USD 75 million.

What is important for Wockhardt is that it marks another launch in terms of a niche product in a limited competition range. They did launch a drug called Toprol XL in July 2010 which was another limited competition drug. Assuming that around 8-10% market share is garnered by Wockhardt for this particular nasal spray, assuming 30% price erosion, we can then estimate around USD 35-40 million for Wockhardt in a particular quarter from this drug itself.