Transegene Biotek Private Ltd, a Hyderabad-based drug maker has recently announced its intention to seek de-listing of the company’s stock from the Indian stock exchanges. In this regard the company had sent postal ballots to all its shareholders to voting either in favour or against the decision. Based on the outcome, the company management is expected to take a final decision by November 6, 2012.
According to company sources the main reason to de-list the company from the stocks exchanges is the widening gap between the company’s inherent value and the reflected value. In view of this the company is selling out an undisclosed quantum of its stake to a foreign institutional investor. As a result of which the company's shares will be de-listed from domestic stock exchanges.
“Already we have sent the postal ballots to all the shareholders on October 5, based on their responses we will be able to reach at a final decision on de-listing by November 6 next month,” informed sources from the MD’s office.
Other main reason for the company to go for de-listing is, in the recent past (during five-10 years) the company had taken up many advanced research programs in its drug discovery pipeline. It has been tough for the company to carry on these programmes further with a tight budget, in view of this the company is looking to partner with some European companies to take forward its innovative drug discovery programmes.
During the past two years, the company had announced a series of success to its credit. Last October the company had highlighted its novel process to manufacture DHA, an Omega-3 fatty acid, which is having an expanding market. Another success of Transgene which attracted attention of the world was its successful development of a novel process to manufacture Tacrolimus, a product which the company has stated is the focus of advanced out-licensing negotiations for commercialisation into regulated markets.
Very recently it had also announced its successful completion of two independent animal studies on its oral insulin programmes. It is believed that the oral insulin programme is one of its latest research programmes aimed at discovering an effective diabetes drug.
In oncology segment, the company is also developing TBL-0306, a monoclonal antibody to treat three different cancers.
Transgene Biotek, which was incorporated in the year 1991, has been the innovator of novel technologies and products. Over the years the company had built an inherent ability to break scientific barriers, to create products, platforms and process technologies that have resulted in a world-class pipeline and has high value IP (intellectual property) portfolio.