The key strategy of the company for business development is to identify new products in high growth therapeutic areas like cardiology and diabetes and in the therapeutic areas in which the company has a well-established presence viz. critical care, dermatology and biotechnology.
Various alliances for cardiology and critical care products are in advanced stages of discussion. Opportunities in areas like cosmeceuticals and critical care antibiotics are also being explored.
The company has received approval from the USFDA for Requip XL tablets, in the strengths of 2 mg, 3 mg, 4 mg and 8 mg, used for the treatment of idiopathic ParkinsonRs.s disease.
It also announced a collaboration with Japan based Astellas Pharma for exclusive rights for the latterRs.s injectible anit-fungal agent namely, Micafungin in the India market.
During the quarter ended September 2008, the company launched the antihypertensive drug BENITEC (Olmesartan Medoxomil) and its combination product BENITEC H (Olmesartan Medoxomil + Hydrochlorothiazide), which were in-licensed from Daiichi Sankyo India earlier this year.
Other new products / vaccines launched in the year have also contributed to the growth.
Glaxosmithkline Pharma has launched its special breast cancer drug Tykerb (lapatinib) in India priced 25 per cent cheaper than overseas.
Approved in the US in March 2007 and Europe nine months later, this rare drug is indicated for the treatment of patients who do not respond to trastuzumab (sold under the trade name Herceptin), a blockbuster drug from the stable of Swiss drug major Hoffman-La Roche.
Herceptin is indicated for the treat of a particularly aggressive form of tumour (HER2-positive), which accounts for 20-30 per cent of all breast cancers.
At the current market price of Rs1147, stock is trading at 21.60x P/E and 5.92 P/BV CY08 and as per market estimates for CY09E at 19.31x P/E and 5.14 P/BV.