Pharma stock jumps 8% after receiving approval from EU and USFDA for its manufacturing plants

The shares of a Microcap research-led pharmaceutical company involved in developing, manufacturing, and marketing generic finished dosage formulations and Oncology Formulations surged up to 8 percent in today’s trade after announcing its expansion plan into regulated markets. 

Price Action 

The shares of Medicamen Biotech Ltd, with a total market capitalization of Rs 619.52 Crore on Friday, reached an Intraday high at Rs 491.95 per share, gaining around 8 percent in today’s trading session. As of 1:30 pm, the shares retreated from their day’s high and were trading at Rs 485 per share, which was 6.4 percent higher than the previous close of Rs 455.9.

What happened 

In a press release dated March 28, 2025, the company announced that it has successfully obtained approval from the European Union (EU) and the United States Food and Drug Administration (USFDA) for its manufacturing plants, opening up significant opportunities for the company to expand its reach in both emerging and regulated markets. 

Additionally, the company has filed the necessary documentation to expand into Canada and Australia and anticipates site approvals within the next six months. The company also informed about partnering with international firms for marketing products in the US, Canada, Europe, Australia, and other emerging markets. 

It is also focused on developing and expanding its proprietary brand in the domestic market, focusing on high-growth therapies such as Diabetes, Cardiovascular, and Oncology. 

Indian Pharmaceutical Industry

India is one of the fastest-growing and largest pharmaceutical markets globally, presenting substantial opportunities for growth. As the second fastest-growing pharma market worldwide, the Indian Pharmaceutical Market (IPM) is expected to double from Rs 2.6 lakh crore to Rs 5.1 lakh crore by 2030. It is projected to expand at a compound annual growth rate (CAGR) of 10.7 percent by 2030.

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Financials

The company reported a marginal decline of 2.92 percent YoY from Rs 46.50 Crore in Q3FY24 to Rs 45.14 Crore in Q3FY24. However, their Net Profit grew by 44 percent YoY from Rs 2.03 Crore to Rs 2.92 Crore over the same period. 

Future Outlook

The company is well-positioned to establish strong domestic brands in ONCOLOGY, CVD and anti-diabetic therapies. It has chosen largest chronic lifestyle segments and plans to expand into additional therapy areas by 2030, with a focus on ortho, dermatology and gastroenterology. The company is aiming to have a network of over 60,000 doctors, and achieve a PAN India presence covering 560 HQs. 

About Medicamen Biotech Ltd

Medicamen Biotech Ltd is an Indian pharmaceutical company engaged in the manufacturing and marketing of a wide range of generic medicines. It specializes in high-quality formulations across various therapeutic segments like Oncology, Cardio-vascular, Hypertension, and Antidiabetic.

The company has transitioned from a solely domestic government business to a global supplier by expanding its presence in ROW and emerging markets. With EU and USFDA plant approvals, the company is now well-positioned to access regulated markets like the US, EU, Australia and Canada.  

Written By Adhvaitha Nayani 

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