Monday, January 9, 2012

Orchid Chemicals gets $1.5 m milestone payment from Merck....

Orchid Chemicals & Pharmaceuticals has received initial USD 1.5 million in milestone payments from Merck & Co as its research programme with the pharma major for anti-infection drugs has completed a pre-clinical milestone.

Orchid and Merck had in 2008 entered into an agreement to focus on discovery, development and commercialisation of new medicines to treat bacterial and fungal infections.

As per the agreement, Orchid Chemicals is eligible to receive payments over USD 100 million upon reaching various research and development milestones. It will also receive significant royalties on worldwide net sales of any products commercialized under the agreement.

Orchid Chemicals had said on Monday that it received approval from banks to raise USD 100 million via external commercial borrowings [ECB] for redeeming USD 117 million of foreign currency convertible bonds [FCCB] due in February 2012.

Orchid Chemicals shares were trading up over 6% at Rs 132.25 on NSE in noon trade.
Link for the article:


  1. Dear Sir,

    Nice to read your post, we r talking big but do you know that in UP since last 4 years there is no drug analyser, Ayurvedic companies are manufacturings drugs with heavy metal but they are not checking the final composition of drug, and if these metals don't complete the reactions than they very hazardous, like Hg nedd o be converted in to HgS in order to be safer in presence of some herbs, but companies are not checking these things where as the technology is available, and in govt lab a small sample to conduct these test will take only 500 Rs but still companies are not doing these things, also govt. is not at all concerned, I iled an RTI but they are not giving this in written form.

  2. A recent interview of PSL LTD

    After a dull last year, PSL Ltd, India's largest pipe-maker, is seeing renewed activity in orders for pipes. The company today announced orders worth Rs 280 crore. Last week it had received orders with Rs 925 crore from the oil & gas, water and the power sector combined.

    Ashok Punj, managing director, PSL Ltd said that it is encouraging to see orders coming from various sectors and not just one. He said, "This is not a single order but a combination of orders we have received. The trend, therefore, is positive for the pipe sector." Punj said that the company is expecting another two to three orders in the next fortnight.

    PSL is eyeing the water sector for the new orders. The company is hopeful that the tenders in states like Gujarat and Tamil Nadu that are due to open in the next week will fetch the company more work.

    Punj said that earlier there was hesitancy to move forward with new projects. "Now we are seeing some willingness from clients to commit to projects."

    The pick up in activity for PSL can be seen from its order book growth over the last few months. The company said that it had an order book of Rs 1,800 as on March 31, 2011. Earlier during the year the company and executed orders worth Rs 500 crore.

    With these orders of Rs 924 crore, PSL's total Indian order book stands at around Rs 2,500 crore.

    The company has plants in US as well as Sharjah and the combined order book stands at Rs 3,000 crore. Punj said: "We will be happy to be booked for a year. For that target, we are hoping to achieve an order book of close to Rs 4,500 crore during in the current calendar year."

    However, with a total pipe making capacity of 1.7 million tonne, all of its plants are not running on full capacity.
    Punj said, "Chennai and Vizag plants are running at full capacities but Kandla and Jaipur plants are currently at sub-optimal capacities."
    The US and Sharjah plants are also currently full, however, the US plant's order book will be executed by May. "There are some tenders we have filled in the US and if we get those orders then the plant will be busy till September," he said.

    Even though the oil & gas activity in the US is reviving, the companies are not seeing free flow of orders. To tackle that PSL has started to bid for water and structural pipeline business in the US.

    Punj said that the business in the fiscal gone by was dismal and the company hopes to end 2012 with twice the order book than what it had in most of 2011.

  3. Mitzz,
    There is no doubt about the product quality of PSL Ltd.It is a top class Co.The only thing the management needs to take care is of Debt and thereby the Int Outgo.Look at the Int Outgo, it is 160 cr last year...Ofcourse for a 2500 cr Co it is obvious that there can be a debt but I think the depreciation and Int is taking out most of the NP.....

  4. Sumit,
    The standard you are talking in Ayurved medicine is all over.
    I saw in news the otherday that in Bengal, Gujarat, Rajashthan and in Punjab and in other state Milk is mixed up.
    Read this report:

    The study, conducted this month by the food safety and standards authority of India, found milk was adulterated with skimmed milk powder and glucose, or more shockingly hydrogen peroxide, urea and detergent.

    Hydrogen peroxide is used in bleach, while urea is commonly used in fertilizer.

    "Consumption of milk with detergent may cause health hazards and indicates lack of hygiene and sanitation in the milk handling," the regulator said in a report.

    "Addition of water not only reduces the nutritional value of milk but contaminated water may also pose health risks."

    A health ministry official declined to comment on the report.

    India has long struggled with adulteration of food and milk by unscrupulous traders. Almost 70 percent of the 1,791 samples taken nationwide were contaminated or watered down, according to the report.

    So , when the demand is going to remain high, this type of things will keep on happening and people and perticularly infants will keep on getting desiesed with Polio , or TB or Diptheria ....and government is not doiung anything to stop it.....we have to keep seeing these things happening.
    I was also disturbed when I saw 20 children got dead in hospitals in various part of India and that happened many times in very short period of time.But we have to take in our way.....That is the price India is paying for opening doors in 1992.......Globalisation....

  5. Actually Sukanya I am amazed to see how we lost our credibility in 20 yrs, which has a deep roots of culture of 5000 yrs.....Are we people of India so vulnarable to forget all ethics in a 20 years span?Are we so susceptible to others?
    Though I never believed your view that all bad happening is due to opening of gates in 1992 as I firmly believe that it is us who decides what we are suppose to do and whom we are going to follow .Someone who have just entered our life for 20 yrs and make us become so selfish and corrupt then we are at fault and nobody else.....

    1. Rajeev,
      I am not saying that all is well in india. I also agree that india is far far behind USA, it will not only take several years but decades to come closer to USA.
      What I tried to point out was corruption is not only the one that happens in front of our eyes, but also that which happens behind the screens.
      This topic is something that needs a long discussion that is not possible on a blog.

  6. Agreed Sukanya, this topic can't be discussed on blog.But let me say here that what you are looking at is the bigger picture on corruption while I am talking of smaller picture where in day to day life people in India has to go through giving bribes for little petty, Talatis, Revenue office, Treasury office, Pension Office etc etc.....and how one can jusitifies the death of scores of infants in hospitals and beating a poor little girl for stoling something worth rs 300! I also don't say that shouldn't be happening in other part of the world, but that is no justification.

    1. Exactly rajeev, that's the difference. Looking at bigger picture and the smaller one. That's why thoughts weren't matching, though everyone wants a corruption free life.

    2. One more thing to add Rajeev,
      Life is no different from a stock market. In stock market only he is successful who looks at big picture, else he remains a trader will piling up losses. One should look beyond short term fixes and seek permanent solutions. Permanent solutions are attained only when problems are solved from root levels, else we may only be suppressing the problems and not solving them. If one form of corruption is suppressed, it will crop up in some other form. Ultimately sufferings won't end.
      Didn't we solve(suppress) license raj, didn't we solve(suppress) zameendari, etc etc. What happened, they all cropped up in some other form, in the form of ICICI :), in the form of real estate builders charging exorbitant rates for worthless flats. The level of sufferings still remain the same.
      We may solve the problem of adulterated food items but what will happen, we will allow wal-mart to serve us with genetically modified vegetables and fruits playing with our health. We will solve the problems of the farmers by paying them good rates for their farm land but will throw them in front of companies like monsanto who will decide the rules. Ultimately what is it that we will gain, nothing........ Sufferings will remain as such, only thing is that it will be in some other form.
      Problems are occurring because of our attitude of not bearing little pain for short period to gain long term prosperity. Same like it happens in stock market. Pls don't think that I am against USA or blind supporter of India. What I believe is that despite of all the prosperity in USA, they also have problems, sorrows. Wealth is no barometer for happiness. Unless n until this mindset change that wealth is not the ultimate goal of one's life, infants will keep dying in hospitals, children will keep drinking milk made of urea in India and genetically modified crops and injected cows in USA.
      It is this reason that I blamed the only-for-profit economic system of 1992 but you misunderstood me.

  7. No hardfeeling for you Sukanya.....everyone has her/his own way of thinking.Agreeing or not agreeing is a different matter altogather.....