Lyka Labs announces out-licensing deal with US-based generics company

Lyka Labs, a pharmaceutical company on Tuesday announced that it has entered an out-licensing/ technology transfer deal for a basket of 12 Sterlite Injectable Formulations for manufacturing, sales and distribution in the United States of America.

May 30, 2017 11:05 IST India Infoline News Service

Lyka Labs, a pharmaceutical company on Tuesday announced that it has entered an out-licensing/ technology transfer deal for a basket of 12 Sterlite Injectable Formulations for manufacturing, sales and distribution in the United States of America.
 
The market size of the licensed formulations is close to $1.4 billion as per IMS MAT March 2017. Lyka Labs will be eligible for a royalty on end sales.
 
The stock of the company has is up by 3.3% on the NSE at 1020 hours. The stock has delivered negative returns of 30% in a period of one year and has underperformed the BSE Small cap and BSE Healthcare indices over the same time span.
 
Lyka Labs Limited is engaged in the business of pharmaceutical products and pharma-related activities, including research. The company's principal business activity is formulation.
 
 Stock view:
 
Lyka Labs Ltd is currently trading at Rs 52.1, up by Rs 1.6 or 3.17% from its previous closing of Rs 50.5 on the BSE.
 
The scrip opened at Rs 52.45 and has touched a high and low of Rs 54 and Rs 51.3 respectively. So far 133982(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs 111.3 crore.
 
The BSE group 'B' stock of face value Rs 10 has touched a 52 week high of Rs 78 on 21-Jul-2016 and a 52 week low of Rs 45 on 23-May-2017. Last one week high and low of the scrip stood at Rs 52.5 and Rs 45 respectively.
 
The promoters holding in the company stood at 23.99 % while Institutions and Non-Institutions held 6.44 % and 69.57 % respectively.
 
The stock is currently trading below its 200 DMA.

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