Lupin surges on entering into settlement pact with Santarus, Depomed, Inc for GLUMETZA

Lupin is currently trading at Rs. 469.35, up by 5.80 points or 1.25% from its previous closing of Rs. 463.55 on the BSE.

The scrip opened at Rs. 472.50 and has touched a high and low of Rs. 474.00 and Rs. 461.00 respectively. So far 63485 shares were traded on the counter.

The BSE group 'A' stock of face value Rs. 2 has touched a 52 week high of Rs. 509.50 on 15-Feb-2012 and a 52 week low of Rs. 363.00 on 25-Feb-2011.

Last one week high and low of the scrip stood at Rs. 495.00 and Rs. 459.10 respectively. The current market cap of the company is Rs. 20991.24 crore.

The promoters holding in the company stood at 46.93% while Institutions and Non-Institutions held 43.44% and 9.63% respectively. 

Pharma major Lupin and its subsidiary, Lupin Pharmaceuticals, Inc have entered into a settlement agreement with Santarus, Inc. and Depomed, Inc. to resolve pending patent litigation involving GLUMETZA (extended release metformin tablets) 1000 mg and 500 mg.

The settlement agreement grants Lupin the right to begin selling a generic version of GLUMETZA from February 1, 2016, or earlier under certain circumstances. GLUMETZA extended release metformin tablets, 1000 mg and 500 mg had annual US sales of approximately $71 million, for the twelve months ending December, 2011.

However, the settlement agreement is subject to review by the US Department of Justice and the Federal Trade Commission, as well as entry by the US District Court for the Northern District of California of an order dismissing the litigation.

The company had earlier received the tentative approval for generic GLUMETZA (Metformin Hydrochloride Extended Release Tablets) 1000 mg and 500 mg from the United States Food and Drugs Administration (FDA) in January, 2012. The company believes that it is the first applicant to file an ANDA for GLUMETZA 1000 mg and 500 mg strengths and as such is entitled to 180 days of marketing exclusivity.

Headquartered in Mumbai, India, Lupin is an innovation led transnational pharmaceutical company producing a wide range of generic and branded formulations and APIs. The company today has significant presence in the Cardiovascular, Diabetology, Asthma, Pediatrics, CNS, GI, Anti-Infectives and NSAID space in addition to holding global leadership positions in the Anti-TB and Cephalosporin segment.