Shares of Aurobindo Pharma Ltd. will be in focus on Thursday, April 16, after the company informed exchanges that its subsidiary, TheraNym Biologics Pvt Ltd, has expanded its collaboration with Merck Sharpe & Dohme Singapore Trading Pte Ltd (MSD) by signing an additional product schedule under their existing contract manufacturing (CMO) agreement dated May 2024.Under the new agreement, TheraNym Biologics will set up a greenfield facility for large-scale mammalian drug substance manufacturing (Unit 2), with a total bioreactor capacity of 60 KL.
The company plans to invest around $150-175 million to establish this facility, which will include mammalian cell culture bioreactors with an aggregate capacity of 60,000 litres, along with the required downstream purification infrastructure for drug substance production.
ALSO READ | Tata Group stock posts fifth straight quarterly loss; shares in focusAs part of the arrangement, TheraNym will build the facility, manufacture the products, and supply them to MSD.
Shares of Aurobindo Pharma ended 2.63% higher at ₹1,375 on Wednesday. The stock has gained over 15% so far this year.
