Global research firm sees increased competition for its psoriasis drug
Sun Pharmaceutical fell around one percent intraday on Thursday as investors could have turned wary post CLSA’s views on the stock.
The global research firm maintained its sell call on the stock with a target of Rs 390.
Further, it said that Tildrakizumab could witness strong competition from Risankizumab. Tildrakizumab is an investigational IL-23p19 inhibitor being evaluated for the treatment of moderate-to-severe plaque psoriasis.
Meanwhile, the firm also sees early generic competition in Restasis being a major risk for Seciera. For Sun Pharma, its inability to ramp up specialty pipeline could be a key risk to valuations.
The company was in the news recently when it recalled a diabetes drug.
Its US- based subsidiary recalled two lots of diabetes drug Riomet due to microbial contamination. Sun Pharmaceutical Industries Inc (SPII), a wholly owned subsidiary of the company, is voluntarily recalling two lots of Riomet (Metformin Hydrochloride Oral Solution), to the retail level, the Mumbai-based drug major said in a statement.
The product is manufactured for SPII by a contract manufacturer, it said adding that the recall is being conducted with knowledge of the US FDA.
The Riomet has been found to be contaminated with microbe, Scopulariopsis brevicaulis. The contamination was discovered during sample preparation for the antimicrobial preservative effectiveness testing (AMPET) being performed as part of the 12-month stability study interval, Sun Pharma said.Use of contaminated Riomet potentially could result in a risk of infection, especially in the immunocompromised patient.