Divi's Labs - Custom Synthesis Drive Numbers; Generics Muted: ICICI Direct

Divi's Labs - Custom Synthesis Drive Numbers; Generics Muted: ICICI Direct

A lab technician prepares samples at the lab. (Photographer: Paul O'Driscoll/Bloomberg News)

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ICICI Direct Report

Divi’s Laboratories Ltd. is engaged in manufacturing generic active pharma ingredients and intermediates, custom synthesis of active ingredients and advanced intermediates for pharma mulit-national companies, other speciality chemicals like Carotenoids and complex compounds like peptides and Nucleotide revenues.

Key triggers for future price performance: 

  • Divi's Labs has been building capacities in a few more niche APIs as per the evolving demand scenario in the backdrop of ‘China plus one’ opportunities.

  • progress towards six identified growth areas- 1. established generics, 2. existing generics, 3. new generics, 4. Sartan APIs, 5. contrast media, 6. custom synthesis.

  • traction from some near term Covid-19 opportunities such as Molnupiravir API (MSD’s) authorised manufacturer.

  • progress on the Kakinada greenfield project (planned outlay Rs 1000-2000 crore).

Click on the attachment to read the full report:

ICICI Direct Divis Company Update.pdf
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