Orchid Pharma Ltd, a vertically integrated pharmaceutical company, which is into research, manufacturing, and marketing, said it has been selected through a global tender for the manufacture of Cefidorocol. Cefidorocol is employed in the treatment of complex urinary tract infections (including pyelonephritis) in patients with restricted or no alternative treatment alternatives. 

The sublicensing agreement with Shionogi, Japan, facilitated through GARDP (Global Antibiotic Research and Development Partnership), will allow Orchid to produce this crucial product, said Manish Dhanuka, MD of the company, during the Q2 FY24 earnings conference call.  

“The purpose of this agreement is to give Orchid rights to manufacture this patented product for 135 countries of low- and middle-income group,” added Dhanuka. 

Shionogi will directly transfer the technology for this product to Orchid. Shionogi aims to grant access to the those in low-income countries, addressing the escalating issue of antimicrobial resistance, says Dhanuka. The product is likely to be launched in the second half of 2026.  

Regarding the new agreement for Cefidorocol, the investment involves two aspects. For the API, we’ll utilise the existing facility, incurring a relatively modest cost. However, for the finished dose formulations, a new plant will be established, requiring an investment in the range of ₹80 to ₹100 crore, added Dhanuka.  

The company also released its Q2 results recently for FY24. The company’s Q2 revenue reached ₹199 crore, from ₹165.2 crore in the same quarter last year.  

The quarterly net profit in September 2023 surged to ₹20.24 crore, up from ₹3.32 crore in September 2022. 

On Monday, the last trading day on the NSE, Orchid Pharma’s shares closed at ₹541.55.

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