Please Share:: 
India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��
R e v i v a l o n c a r d s …
We met the management of Divi’s Laboratories (DLL) to get insight of
business model and growth plans. DLL is engaged in manufacture of
generic APIs, custom synthesis of active ingredients for innovator
companies and other speciality chemicals like peptides and
nutraceuticals. DLL’s product portfolio comprises of two broad segments-
(i) Generic APIs including Nutraceuticals and (ii) Custom Synthesis of
APIs, Intermediates and Speciality ingredients for innovator pharma
giants. It also includes peptide building blocks. The sales break-up
between these two segments is almost 50:50 (FY11). The company
remains committed to only few research driven opportunities as was the
case when it started commercial operations in the early nineties. This is
why so far it has filed just 39 odd DMFs and doesn’t want to increase its
count drastically. To enter custom synthesis space in the nineties, the
company made its own case to the innovators which, until then were
relying on services provided by major players such as BASF, Degussa
etc. As these players grew and became as big as the innovators
themselves, companies like DLL on account of their capabilities and
commitment towards strict IP regime, started getting assignments. DLL
currently owns 3 manufacturing facilities- One in Nalgonda near
Hyderabad and two in Vizag. It is in the process of setting up 4th
manufacturing facility also in Vizag.
Business model
Generic APIs
The company manufactures generic APIs and advanced intermediates for
off patented APIs. So far it filed 39 DMFs with the USFDA and 10 DMFs
with the EDQM. Generic APIs account for nearly 50% of total sales. The
key APIs are Naproxen, Dextromethorphan Hydrobromide, Lopamidol &
Phenylephrine. DLL enjoys more than 70% market share across the globe
for APIs like Naproxene and Dextromethorphan hydrobromide.
Naproxen is a non-steroidal anti-inflammatory drug (NSAID) used in the
treatment of arthritis, spondilitis and other inflammatory conditions.
Around 18% of DLL’s total revenues come from Naproxen. Its DMF was
approved by both USFDA and by EDQM. Other players which
manufacture Naproxen API are Roche, Teva, Albemarie, Farchemia and
Dr Reddy’s Laboratories. Around 9% of the total revenues come from the
Dextromethorphan Hydrobromide API. The API is a cough suppressant,
which is a widely used ingredient in the formulation of cough syrups and
tablets. Other players which manufacture this API are Roche, Dr Reddy’s
Laboratories and Wockhardt
India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��
R e v i v a l o n c a r d s …
We met the management of Divi’s Laboratories (DLL) to get insight of
business model and growth plans. DLL is engaged in manufacture of
generic APIs, custom synthesis of active ingredients for innovator
companies and other speciality chemicals like peptides and
nutraceuticals. DLL’s product portfolio comprises of two broad segments-
(i) Generic APIs including Nutraceuticals and (ii) Custom Synthesis of
APIs, Intermediates and Speciality ingredients for innovator pharma
giants. It also includes peptide building blocks. The sales break-up
between these two segments is almost 50:50 (FY11). The company
remains committed to only few research driven opportunities as was the
case when it started commercial operations in the early nineties. This is
why so far it has filed just 39 odd DMFs and doesn’t want to increase its
count drastically. To enter custom synthesis space in the nineties, the
company made its own case to the innovators which, until then were
relying on services provided by major players such as BASF, Degussa
etc. As these players grew and became as big as the innovators
themselves, companies like DLL on account of their capabilities and
commitment towards strict IP regime, started getting assignments. DLL
currently owns 3 manufacturing facilities- One in Nalgonda near
Hyderabad and two in Vizag. It is in the process of setting up 4th
manufacturing facility also in Vizag.
Business model
Generic APIs
The company manufactures generic APIs and advanced intermediates for
off patented APIs. So far it filed 39 DMFs with the USFDA and 10 DMFs
with the EDQM. Generic APIs account for nearly 50% of total sales. The
key APIs are Naproxen, Dextromethorphan Hydrobromide, Lopamidol &
Phenylephrine. DLL enjoys more than 70% market share across the globe
for APIs like Naproxene and Dextromethorphan hydrobromide.
Naproxen is a non-steroidal anti-inflammatory drug (NSAID) used in the
treatment of arthritis, spondilitis and other inflammatory conditions.
Around 18% of DLL’s total revenues come from Naproxen. Its DMF was
approved by both USFDA and by EDQM. Other players which
manufacture Naproxen API are Roche, Teva, Albemarie, Farchemia and
Dr Reddy’s Laboratories. Around 9% of the total revenues come from the
Dextromethorphan Hydrobromide API. The API is a cough suppressant,
which is a widely used ingredient in the formulation of cough syrups and
tablets. Other players which manufacture this API are Roche, Dr Reddy’s
Laboratories and Wockhardt
No comments:
Post a Comment