Latest news with #WockhardtUSALLC
Business Standard
11 hours ago
- Business
- Business Standard
Wockhardt climbs on exiting US generics to refocus on innovation
Wockhardt gained 3.54% to Rs 1,818.90 after announcing a strategic exit from the US generic pharmaceuticals business. The move is aimed at realigning focus toward high-impact areas, including novel antibiotic drug discovery and biologics-led insulin solutions. The decision comes after its US generics unit posted a $8 million loss in FY25. To facilitate the exit, Wockhardt filed for voluntary liquidation of its US subsidiaries, Morton Grove Pharmaceuticals Inc. and Wockhardt USA LLC, under Chapter 7 of the US Bankruptcy Code, effective 11 July 2025. The company says this decision enables a clean and structured exit from a legacy segment and unlocks management bandwidth and capital for high-impact areas. The company remains committed to its pharmaceutical operations in India, the UK, Ireland, and other geographies where its businesses continue to deliver strong performance. Wockhardt is a research based global pharmaceutical and biotech company. On a consolidated basis, Wockhardt reported net loss of Rs 25 crore in Q4 March 2025 as against net loss of Rs 169 crore in Q4 March 2024. Net sales rose 6.14% YoY to Rs 743 crore in Q4 March 2025.
Business Upturn
16 hours ago
- Business
- Business Upturn
Wockhardt shares jump 4% after exiting loss-making US generics business
By Aman Shukla Published on July 14, 2025, 12:52 IST Wockhardt shares jumped 4% after the company announced a major strategic shift in its US operations. The pharma firm is exiting the US generic drug market to focus on high-value, research-driven areas such as antibiotic drug discovery and biological insulin products. As part of the move, Wockhardt has filed for voluntary liquidation under Chapter 7 of the US Bankruptcy Code for its subsidiaries—Morton Grove Pharmaceuticals Inc. and Wockhardt USA LLC. The decision comes after the US generics business posted nearly $8 million in losses for FY25. Effective July 11, 2025, this exit allows Wockhardt to reallocate resources to its advanced pipeline, especially in antibiotics and diabetes care. The company will continue operations in India, the UK, Ireland, and other key global markets, reinforcing its commitment to innovation and sustainable growth. Wockhardt shares opened at ₹1,780.00 and touched an intraday high of ₹1,854.00 before slipping to a low of ₹1,739.20. The stock is trading close to its 52-week high of ₹1,868.80, while the 52-week low stands at ₹750.00. Disclaimer: The information provided is for informational purposes only and should not be considered financial or investment advice. Stock market investments are subject to market risks. Always conduct your own research or consult a financial advisor before making investment decisions. Author or Business Upturn is not liable for any losses arising from the use of this information. Ahmedabad Plane Crash Aman Shukla is a post-graduate in mass communication . A media enthusiast who has a strong hold on communication ,content writing and copy writing. Aman is currently working as journalist at
&w=3840&q=100)
Business Standard
3 days ago
- Business
- Business Standard
Wockhardt exits US generics biz, to focus on innovative portfolio
Mumbai-based pharma major Wockhardt, which is gearing up for the launch of its promising antibiotic candidate Zaynich soon, announced on Friday a shift in its United States (US) operations, deciding to exit the generics pharmaceutical segment in the country. Wockhardt's stock price rose by 3.5% on Friday to ₹1,756 per share, following the announcement after market hours. According to a regulatory filing, the company has filed for voluntary liquidation under Chapter 7 of the US Bankruptcy Code for its two Delaware-incorporated step-down subsidiaries—Morton Grove Pharmaceuticals and Wockhardt USA LLC. This move comes even as the company's US generics business has been incurring losses over the past several years. Wockhardt stated that its generics business had incurred a loss of nearly $8 million in FY2024-25 (FY25) alone. While Wockhardt USA LLC contributed approximately 3% to the company's income in FY25, Morton Grove Pharmaceuticals recorded no income. Morton Grove's net worth stood at 4.6%, primarily from goodwill, while Wockhardt USA's net worth was negative. However, Wockhardt's overall performance has been improving. For FY25, the company reported a net loss of ₹57 crore, compared to ₹472 crore in the previous fiscal. Revenue increased to ₹3,012 crore, up from ₹2,798 crore in FY2023-24. It has also managed to reduce its debt, with net debt standing at ₹1,830 crore in FY25, compared to ₹3,314 crore in FY20. 'Following a comprehensive strategic review, the company has concluded that continuing in this segment would detract from its broader innovation agenda,' the company said in an exchange filing. By exiting the commoditised generics space, Wockhardt is positioning itself to create long-term value through innovation, scientific excellence, and sustainable profitability. The company said this reset would allow for a sharpened focus on building a future-ready business anchored in two key pillars: new antibiotic drug discovery and a biologicals portfolio, particularly in insulin. 'This decision, effective July 11, 2025, enables a clean and structured exit from a legacy segment and unlocks management bandwidth and capital for high-impact areas,' it added. The company had also recently announced plans to launch its new class of antibiotic, Zaynich (WCK5222), targeting complicated gram-negative infections in India this year. The US launch is expected in FY27. Wockhardt estimates that Zaynich will have an addressable market of $7 billion in the US and Europe, and a ₹17,000 crore opportunity in India, bringing the total opportunity to $9 billion. Apart from Zaynich, Wockhardt is also optimistic about other drugs in its antibiotic portfolio (such as Miqnaf or Nafithromycin) and its biotechnology portfolio, including insulins. Miqnaf has already been launched in India and is used to treat Community-Acquired Bacterial Pneumonia (CABP) and Upper Respiratory Tract Infections (RTI). The drug has been granted Qualified Infectious Disease Product (QIDP) status by the USFDA, indicating significant unmet need, as well as Breakthrough Medicinal Product (BMP) designation in Saudi Arabia. Miqnaf is targeting a ₹10,800 crore market opportunity in India with over 96 million potential prescriptions. While exiting the US generics market, the company reaffirmed its commitment to its pharmaceutical operations in India, the United Kingdom (UK), Ireland, and other geographies where its businesses continue to deliver strong performance. In addition to antibiotics, the company is bullish on its biotech capabilities, particularly in diabetes management. Wockhardt sees a significant opportunity in India and emerging markets following Danish major Novo Nordisk's decision to phase out human insulin cartridges. In India, this presents an opportunity of around ₹450 crore, and in emerging markets, the opportunity is approximately $157 million. Wockhardt noted in its investor presentation that with only three players operating in this space in India, it sees significant benefit. Wockhardt's shift towards an innovative portfolio, moving away from plain vanilla generics, comes at a time when Indian pharma firms are increasingly focusing on their innovative portfolios. On Thursday, Glenmark Pharma's American subsidiary signed an exclusive licensing agreement with US-based AbbVie for its oncology and autoimmune diseases asset, ISB-2001, for an upfront payment of $700 million.
Business Upturn
4 days ago
- Business
- Business Upturn
Wockhardt exits US generics business to focus on innovative portfolio
Wockhardt has announced a major strategic shift in its US operations, marking a significant step in its journey to become a future-ready, innovation-driven pharmaceutical company. As part of this realignment, the company has decided to exit the US generic pharmaceutical market and focus instead on high-value, research-based areas such as new antibiotic drug discovery and biological insulin products. The move follows years of financial strain in the US generics segment, which recorded a loss of nearly $8 million in FY 2025 alone. After a detailed strategic review, Wockhardt has opted for a clean and structured exit by filing for voluntary liquidation under Chapter 7 of the US Bankruptcy Code for its wholly owned subsidiaries—Morton Grove Pharmaceuticals Inc. and Wockhardt USA LLC. This bold decision, effective July 11, 2025, will allow Wockhardt to reallocate resources and management bandwidth to its advanced product pipeline, particularly in antibiotics and insulin-based therapies. The company has already established a strong global position in new antibiotic discovery and is leveraging cutting-edge technology in its biologicals portfolio to address unmet needs in diabetes care. Wockhardt remains firmly committed to its operations in India, the UK, Ireland, and other global markets where its businesses continue to perform strongly. This strategic evolution reflects Wockhardt's commitment to innovation, scientific excellence, and long-term value creation for patients, partners, and shareholders. Ahmedabad Plane Crash Aman Shukla is a post-graduate in mass communication . A media enthusiast who has a strong hold on communication ,content writing and copy writing. Aman is currently working as journalist at
