Shares of Medicamen Biotech Ltd. surged 3.55% to ₹514.45 in early trade on February 20 after the company announced a significant Manufacturing & Supply Agreement with a leading pharmaceutical distributor and marketing company operating in the US and European markets.
The 10-year agreement will utilize Medicamen’s USFDA-approved Oncology Unit for contract manufacturing, reinforcing the company’s presence in international markets. Under this deal, Medicamen Biotech will produce pharmaceutical products per its partner’s technical specifications.
A 25% upfront payment upon signing ensures financial stability for the company, strengthening its cash flow position. The collaboration aligns with Medicamen’s global expansion strategy, leveraging its manufacturing expertise and process R&D to offer value-added custom manufacturing services.
The company clarified that this is not a related-party transaction, ensuring compliance with regulatory norms. This move is expected to boost Medicamen’s competitiveness in the highly regulated US and European pharmaceutical markets.
