BANGALORE: Bangalore-based biotechnogy firm Biocon's drug development partner Optimer has received US patent for drug Fidaxomicin. The drug is used to treat diarrhea and intestinal diseases.
"We are the single source of supply of drug substance for Optimer which will certainly boost Biocon's sales this coming fiscal," Kiran Mazumdar-Shaw, CMD of Biocon, said. "I would say that the significant impact will be felt from Q1 FY12," she added.
Analysts expect the company to start the supply within a couple of months.
The closest competitor for Fidaxomicin is vancomycin - an antibiotec injectable manufactured and supplied by Strides Arcolabs . The market size is expected to be around $350 million but the margins for Biocon's drug could be bigger because Fidaxomicin is a novel product while vancomycin is a generic one, analysts said.
A generic drug is produced and distributed widely without patent protection and tends to be cheaper than the discovered product. It contains the same active ingredients as the original formulation. For example, paracetamol is the active ingredient of crocin. Paracetamol can therefore be the generic when sold without the brand name as well. The patent lease for Fidoxamicin is expected to last till March 2027.
Biocon shares rose 3% to end at 330 in a weak market.
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