Nectar Life sciences Ltd, a US$ 200 million organisation, with a strong presence in anti-bacterial segment of global pharma, particularly Cephalosporins, has initiated a long term supply of its innovation molecule bulk drug (API) Cefuroxime Axetil, to the world's second largest innovator pharmaceutical company, GlaxoSmithKline.
This strategic tie-up with the US$ 45 billion global innovator opens a new front for Nectar in terms of rapid entry into all the regulated markets of pharmaceuticals market, as also 100-plus other markets of rest of the world (ROW).
With this, Nector has emerged as the largest low-cost producer of Cefuroxime Axetil globally with the biggest capacity in the world. It has a team of over 100 scientists manning a modern R&D.
While Nectar has already started supplies to GSK, the quantities will significantly increase in the near future if Nectar complies with the highly stringent and exacting global standards of GMP and EHS compliance of GSK.
Nectar also hopes that this high-value added strategic alliance can open a major window for Nectar to contract manufacture two other Cephaloporins innovation molecules of GSK in future; discussions for one of the molecules are in progress. This would help Nectar emerge as a major player in CRAMS area with a potential upside of US$ 50 million soon, said managing director Dinesh dua.
He added that coupled with an aggressive strategy for entering the regulated markets as conceived by Nectar, its alliance with GSK marks a significant step for Nectar to enter into key global markets of the world.
"This will help Nectar get a significant thrust towards its objective of achieving a milestone of turnover of US$ 1 billion by 2015," added Dua.
One of the fastest growing Cephalosporin range companies in the domestic market, Nectar has posted revenue of Rs 4.50 billion, and a net profit of Rs 49 crores - for the first half of current fiscal.
Presently, Nectar commands a 40 per cent market share in the third/fourth generation Cephalosporins market in India and ROW countries.