Ipca Labs is today almost like a beacon of hope – in the market carnage, this is one stock which has hit a 52-week high at Rs.1615.17, a jump of over 17%. Though it has come off the highs, it remains among the top five gainers on the BSE, currently at Rs.1478 levels.
US President Donald Trump has called chloroquine a potential “game changer” for treating the disease caused by the novel coronavirus SARS-COV-2 and that has led to a virtual shortage of all Hydroxychloroquine Sulphate and Chloroquine Phosphate manufactured within the US itself.
Following this Trump directed the FDA to “eliminate outdated rules and bureaucracy” to help speed up the pace of testing drugs that could help treat the symptoms of COVID-19.
In this context, Ipca Labs stated on Saturday that due to the shortage implications and/or medical necessity of certain drugs and finished products, the United States Food and Drug Administration (FDA) vide its e-mails dated 20th March, 2020 has made exception to the import alert for the Company's following Active Pharmaceutical Ingredients (APls) and finished products (Formulations) :
a. Hydroxychloroquine Sulphate and Chloroquine Phosphate APls produced at the Company's APls manufacturing unit situated at Ratlam (Madhya Pradesh); and
b. Hydroxychloroquine Sulphate Tablets produced at the Company's formulations manufacturing units situated at SEZ Indore, Pithampur (Madhya Pradesh) and Piparia (Silvassa).
US FDA has also informed that their exception will be re-considered if the shortage implications change.
Ipca stated that e several credible articles / reports / research papers claiming prophylactic as well as treatment potentials of Chloroquine Phosphate and Hydroxychloroquine Sulphate formulations in managing/treating Coronavirus Disease (Covid-19), though these drugs are not approved for treatment by any regulatory authority.
The company said that due to the increased demand from all several countries around the world, and foreseeing this increased demand, Ipca being amongst largest manufacturer, vertically integrated with capacities and capabilities for manufacturing of these APls and its formulations, is gearing to manufacture and supply these products meeting the stringent cGMP, quality and regulatory requirements and thus help mankind in the best possible way in these testing times.