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US okays Dr Reddy's fexofenadine
The company said it would immediately start marketing of fexofenadine 30 mg, 60 mg and 180 mg tablet dosages.
Dr Reddy's Laboratories Ltd said on Thursday that it received US Food and Drug Administration approval for allergy drug fexofenadine hydrochloride tablets.
The company said it would immediately start marketing of fexofenadine 30 mg, 60 mg and 180 mg tablet dosages, despite being in litigation with France's Sanofi-Aventis over five fexofenadine patents.
US-based Barr Pharmaceuticals Inc and Israel's Teva Pharmaceutical Industries Ltd are already selling fexofenadine hydrochloride, the generic version of Allegra, since 2005.
"The litigation risks are to some extent mitigated because Barr and Teva are already selling the generic version of Allegra," Sarabjit Kour Nangra, analyst with Angel Broking, said.
Allegra sales stood at about $1.4 billion in 2005, according to data from pharmaceutical information company IMS Health Inc, Dr Reddy's said.
However, Nangra said the available market share for Dr Reddy's would be only about $300 million.
"It's not a very substantial positive for the company given the fact that a generic version is already out there," Nangra said.
Dr Reddy's shares were up 2.3 per cent at RS 1,458 in the afternoon in a weak Mumbai market.
"I don't think this news will keep the stock up for a long time. The stock will have a positive bias going forward due to its earnings," she said.
