Glenmark ties-up with Harbour BioMed to develop cancer drug for China

The stock of generic drug manufacturer Glenmark Pharma halts after posting seven consecutive days of uptrend. Glenmark and Harbour BioMed entered into an agreement to develop, manufacture and market a bispecific antibody GBR 1302 for treating HER-2 Positive Cancers for Greater China territory.

Harbour BioMed is a global biopharmaceutical company engaged in discovering and developing therapeutics for oncology and immunological diseases. The agreement accounts for more than US$120 million and royalties. This would provide incremental revenue growth for Glenmark. The company already holds three immuno oncology candidates studied in varied tumor types including bispecific monoclonal antibodies.

The stock of Glenmark Pharm is trading flat to negative as if to halt after seven consecutive days of uptrend. The stock has been consolidating at lower levels since August 2017. Recently, the stock witnessed an upside rally from its 52-week low at 483.60 to 613.45 levels. It corrected up to 50 per cent retracement and bounced back with consistent but gradual upbeat up to current levels. Currently, the stock is trading above its 100 and 200 day EMA levels. Volumes are justifiable and 14-period RSI is quoting at 66 which suggests some momentum, going ahead. However, the stock needs to bust above 604-608 on a closing basis to gain better momentum and provisional trend reversal.