Mayne Pharma Group Limited (ASX: MYX) is a pharmaceutical company that specialises in developing, manufacturing, and commercialising branded and generic products across the world. Currently, Mayne Pharma has a market cap of A$1 billion which is in line with other sector peers.
Recent Mayne Pharma Announcements
Just yesterday Mayne Pharma announced that they have secured a major agreement of a 20-year exclusive license and supply with Mithra Pharmaceuticals (SA), for a novel oral contraceptive in the United States.
The product in question is an innovative ‘next generation’ oral contraceptive composed of Estetrol, (E4) which is native estrogen created by the human foetal liver during pregnancy. E4 will be produced by their partner Mithra Pharmaceuticals through a complex plant-based process following Mithra’s 20 years of research and development on E4 production.
In the same announcement, Mayne Pharma’s CEO Mr. Scott Richards stated that:
This transaction transforms Mayne Pharma and is highly consistent with our stated strategy to build our speciality business with durable, high growth novel products in core therapeutic categories.
Mayne Pharma expects EBITDA to be positive in its first full financial year following approval with peak net sales to exceed of US$200 million per year.
What is the future of Mayne Pharma?
The agreement with Mithra Pharma will improve Mayne Pharma’s commercial capability and presence within the Women’s Health and contraceptive market. With the upcoming introduction of a novel and specialised contraceptive product; it is likely that Mayne’s Pharma has just acquired a long-lasting slice of the American contraceptive market which valued at US$5.4 billion according to Australian Associated Press.
As of 2:45PM AEST 03/10/19, following Mayne Pharma’s new exclusive agreement that raises their profile in the US; the share price skyrocketed to A$0.612, this represents capital growth of over 16.67% over the last three-month.
This article has been prepared by the Australian Stock Report Pty Ltd (AFSL: 301 682. ABN: 94 106 863 978)
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