Natco Pharma shares surge 5.3 pc after patent ruling
The ruling paves the way for the issue of more compulsory licences as govt battle to bring down healthcare costs.
Mumbai: Shares in Natco Pharma Ltd surge 5.3 per cent after an Indian patent appeals board upheld on Monday a decision to allow the company to sell a generic version of Bayer AG's cancer drug Nexavar.
"It would have positive earnings implication for Natco and opens up new avenues of compulsory licensing for Indian companies in order to overcome shortage of drugs or affordability," said Ranjit Kapadia, an analyst tracking the sector at Centrum Broking.
The ruling paves the way for the issue of more so-called compulsory licences as government battle to bring down healthcare costs and provide access to affordable drugs to treat diseases such as cancer, HIV-AIDS and hepatitis.