Bajaj Healthcare shares surge as co moves patent office to seek compulsory licence for Baricitinib
1 min read 29 Jun 2021, 11:29 AM ISTBajaj Healthcare moved India patent office to make Covid-19 drug Baricitinib, blocked by Eli Lilly, the company said in an exchange filing
PremiumShares of Drug firm Bajaj Healthcare surged around 14% in Tuesday's early deals after the company on Monday said it has moved the Indian Patent Office requesting to grant compulsory licence for manufacturing and supply of COVID-19 drug Baricitinib. Bajaj Healthcare shares were up 13.8% at ₹820 per share on the BSE.
The company had approached Eli Lilly & Company on two occasions to sign the voluntary licence for manufacturing and supply of Baricitinib and had assured it about manufacturing a high-quality product at an affordable price for the Indian patient population, Bajaj Healthcare said in a filing to BSE.
Eli Lilly & Company declined the applications on both the occasion, citing the reason that it is really challenging for them to sign voluntary licensing agreements with all the Indian companies who have requested for the same, it added.
"When all the attempts to get the voluntary licence from the patentee were futile, BHL moved to Indian Patent Office, requesting to grant compulsory licence for manufacture and supply of COVID-19 Drug Baricitinib, so that it can supply the essential medicine in this pandemic situation in India," Bajaj Healthcare Ltd (BHL) said.
“We have moved the Indian Patent Office to grant compulsory licence for manufacturing & supply of Covid Drug Baricitinib (API and formulation). Currently the drug Baricitinib is licensed to US pharma giant Eli Lilly & Company, by its originator company INCYTE, providing them the rights for marketing it across the globe," Bajaj Healthcare Ltd Joint MD Anil Jain said.
Considering Bajaj Healthcare's manufacturing capabilities and strong in-house R&D team, "we can produce 'Baricitinib' at very competitive and affordable prices in India," he added.
Eli Lilly and Company has already inked voluntary licensing agreements with Indian pharma majors such as Sun Pharma, Cipla, Lupin, Torrent Pharmaceuticals, Dr Reddy's and MSN Laboratories to expedite availability of Baricitinib for treatment of COVID-19 patients in India.
