- 18 Apr 2024
- ICICI Securities
BIOCON TIES UP WITH A BRAZILIAN COMPANY FOR GENERIC OZEMPIC (SEMAGLUTIDE).
News: Biocon has signed an exclusive licensing and supply agreement with Biomm S.A., a specialty pharmaceutical company in Brazil, for the commercialization of Semaglutide (generic Ozempic), which is used in type-2 diabetes treatment as well as repurposed for obesity management. Biocon will undertake the development, manufacturing and supply of the drug product, and Biomm will be responsible for obtaining regulatory approval and commercialization in the Brazilian market. The total addressable market opportunity of Semaglutide in Brazil is approximately US$ 580 million as per the IQVIA MAT Q4 2023.
Views: Semaglutide, which is a GLP-1 class anti-diabetic drug is going to be one of the most sought-after drugs in the next few years. Ozempic is expected to go off-patent by 2026 in various markets. We expect Biocon to be aggressive in its pursuit to grab the opportunities. That said, deleveraging the balance sheet and resolution of pending FDA issues at Bengaluru and Malaysia facilities would weigh on the sentiments.
Impact: Neutral