Pharma penny stock under Rs 60 jumps after company received communication from EDQM on CEP filing of Propafenone HCl

From Rs 43.42 per share (52-week low) to Rs 54.90 per share, the stock is up by 26.40 per cent.

Today, shares of Sigachi Industries jumped 7.5 per cent to Rs 54.90 per share from its previous closing of Rs 51.04 per share. The company has a market cap of over Rs 1,800 crore and has delivered good profit growth of 25 per cent CAGR over the last 5 years.

Sigachi Industries Limited, a prominent pharmaceutical company, is delighted to announce the recent submission of a CEP filing for "Propafenone Hydrochloride." This significant step signifies the company's dedication to meeting European regulatory standards and ensuring the highest levels of product quality and safety. Propafenone Hydrochloride, a vital API used in treating cardiac arrhythmias, commands a substantial global market valued at USD 1.2 billion. With a projected growth rate of 7 per cent CAGR, the market is poised to reach USD 2.1 billion by 2032, driven by factors such as increasing cardiovascular disease prevalence, growing generic medication adoption, and rising global healthcare expenditure.

Furthermore, Sigachi Industries Limited's subsidiary, Trimax Biosciences Pvt Ltd, has received positive communication from the European Directorate for the Quality of Medicines & Health Care (EDQM) regarding its latest CEP filing submission for "Propafenone Hydrochloride." Securing the Certificate of Suitability for this API will empower the company to export the product to Europe and other CEP-accepting countries. Sigachi Industries Limited remains steadfast in its commitment to delivering excellence through cutting-edge manufacturing capabilities and catering to the demands of highly regulated markets like the EU, ensuring unwavering compliance and the highest quality standards.

Commenting on this development, Amit Raj Sinha, Managing Director and CEO of Sigachi Industries Limited stated, “The submission of our first CEP filing is a testament to Trimax Biosciences’ commitment to quality, compliance, and innovation in the API domain. This achievement not only strengthens our position in the pharmaceutical supply chain but also aligns with our vision of providing reliable and sustainable pharmaceutical solutions on a global scale.”

About the Company

Sigachi Industries Limited, publicly listed in NSE and BSE, is a globally recognized pharmaceutical company known for its unwavering commitment to delivering high-quality excipients, vitamin mineral nutrient blends, APIs, and O&M services. With over 33 years of industry experience, Sigachi has emerged as a trusted partner for pharmaceutical and nutraceutical companies spread across 62 countries. The company's diverse product portfolio is manufactured in 5 multilocational facilities present in Telangana, Gujarat and Karnataka which hold global standard certifications. Being headquartered in Hyderabad, Sigachi Industries Limited has subsidiaries in the US and UAE.

The company announced positive Quarterly Results (Q2FY25) and half-yearly results (FY24) for the financial year 2024. According to quarterly results, revenue increased by 38.10 per cent to Rs 137 crore, EBITDA increased by 36.91 per cent to Rs 29.3 crore and PAT increased by 39.07 per cent to Rs 21 crore in Q2FY25 compared to Q2FY24. In its half-yearly results, revenue increased by 26.53 per cent to Rs 232.7 crore, EBITDA increased by 33.33 per cent to Rs 50.40 crore and PAT increased by 29.61 per cent to Rs 33.7 crore in H1FY25 compared to H1FY24.

From Rs 43.42 per share (52-week low) to Rs 54.90 per share, the stock is up by 26.40 per cent. Investors should keep an eye on this Small-Cap pharma stock.

Disclaimer: The article is for informational purposes only and not investment advice.