Cadila Healthcare share price rose over 7 percent in early trade on August 23 after the company received the Emergency Use Authorization (EUA) from the Drug Controller General of India (DCGI) for ZyCoV-D, the world’s first Plasmid DNA Vaccine for COVID-19. The company said it is planning to to launch the vaccine in September.
ZyCoV-D is a three-dose vaccine that will be administered first on day zero, day 28th and then the 56th day.
With this approval, India now has its first COVID-19 vaccine for adolescents in the 12-18 age group, besides the adult population.
ZyCoV-D, is a needle-free vaccine administered using The PharmaJet, which ensures painless intradermal vaccine delivery.
“This is a historic milestone with ZyCoV-D, a product of Indian innovation becoming the world’s first DNA vaccine being offered for human use and supporting the world’s largest immunization drive," said Pankaj R. Patel, Chairman, Cadila Healthcare.
In another development Zydus Pharmaceuticals Inc, USA (a 100% subsidiary of Cadila Healthcare), has signed a license and supply agreement with CHEMI SpA of Italy, a subsidiary of Italfarmaco Group, to launch the generic equivalent of Sanofi Aventis’s branded product Lovenox (Enoxaparin Sodium Injection) in seven dosage strengths in the United States (US), company said in the release.
Under the agreement, CHEMI will manufacture and supply the Enoxaparin Sodium Injection which Zydus will commercialize in the US.
Also, company has received final approval from the USFDA to market Tofacitinib extendedrelease tablets, 11 mg and 22 mg in the United States. Zydus was the first ANDA filer on Tofacitinib extended-release tablets 22 mg and currently holds 180-day exclusivity on this strength, company said in the release.
Here is what brokerages have to say about the stock and the company:
Morgan Stanley | Rating: Equal-weight | Target: Rs 664
The ZyCoV-D is the sixth COVID vaccine to be approved in India and it is the first vaccine to get approved on a DNA platform.
This should be a meaningful opportunity for the company as adoption picks up in the ensuing months, said Morgan Stanley.
CLSA | Rating: Upgrade to buy | Target: Rs 650
CLSA has upgraded the stock to buy rating as its recent stock price correction offers an attractive entry point.
The multiple long-term drivers should help it post double-digit core growth in FY23, it added.
Citi | Rating: Sell | Target: Rs 490
Research house estimate the first full-year revenue/PAT of USD 420 m/150 m from ZyCoV-D, as its NPV at Rs 30 per share is included in the target price.
At 13:20 hrs Cadila Healthcare was quoting at Rs 555.30, up Rs 20.10, or 3.76 percent on the BSE.Disclaimer: The above report is compiled from information available on public platforms. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.