Wednesday, September 21, 2011

Will 2012 turnaround Morepen Fortunes?



Morepen holds DMF approval for some very important active ingredients that are expiring in 2012. Post patent expiry, the volume sales of  API’ tend to go up by as much as 50% from pre expiry levels. 
Morepen has filed DMF’s for Actos (pioglitazone), Lipitor (atorvastatin), Singulair (monteleukast sodium). . The current API sales for atorvastatin, pioglitazone and monteleukast sodium is close to $ 250m, $100m and $125m respectively.   Assuming a 5% market share for Morepen, the approximate incremental sales, that it would be able to realize from these opportunities could be as high as INR 120-150 crores, depending upon price negotiations with ANDA filers. 25% post tax profits from these sales, would be a fair expectation