On Friday, April 11, Biocon experienced a notable surge in its share price, climbing 5.5% during intra-day trading. This uptick followed the exciting news that Biocon Biologics, a subsidiary of Biocon, secured approval from the U.S. Food and Drug Administration (USFDA) for JOBEVNE, a biosimilar to Bevacizumab intended for intravenous administration. This significant regulatory approval not only marks a pivotal moment for Biocon but also boosts investor confidence in the company’s expanding biosimilar offerings.
JOBEVNE: A Milestone in Biosimilars
The newly sanctioned medication, JOBEVNE (bevacizumab-nwgd), serves as a biosimilar to the well-known Avastin (bevacizumab). Designed as a recombinant humanized monoclonal antibody, JOBEVNE works by inhibiting angiogenesis—the creation of new blood vessels—through the blockade of vascular endothelial growth factor (VEGF). This mechanism effectively limits tumor blood supply, thereby hindering their growth.
Shreehas Tambe, the CEO and Managing Director of Biocon Biologics, celebrated this achievement, stating, “Receiving the U.S. FDA approval for JOBEVNE is a crucial milestone—marking our seventh biosimilar approved in the U.S. and a significant enhancement to our oncology portfolio.” Tambe emphasized that this approval showcases Biocon’s scientific expertise and its unwavering commitment to providing high-quality, affordable biologics globally.
Strengthening Biocon’s Oncology Portfolio
With the launch of JOBEVNE, Biocon Biologics solidifies its foothold in the competitive U.S. oncology biosimilars market, complementing its existing products like OGIVRI (Trastuzumab-dkst) and FULPHILA (Pegfilgrastim-jmdb). Additionally, the company has marketed its Bevacizumab biosimilar under the name ABEVMY in Europe since February 2021 and in Canada since November 2021.
The U.S. market presents a lucrative opportunity, with bevacizumab sales projected to reach approximately USD 2 billion in 2023. Biocon’s growing product pipeline is anticipated to enhance its market share within this high-value sector.
Financial Initiatives and Strategic Approaches
In tandem with the JOBEVNE approval, Biocon is also focusing on enhancing its financial framework. Recently, the company’s board authorized the issuance of commercial papers worth up to ₹600 crore through private placement. This strategic move aims to bolster liquidity and support growth initiatives.
Furthermore, on March 24, Biocon Pharma, another subsidiary, received USFDA approval for its ANDA (Abbreviated New Drug Application) for Norepinephrine Bitartrate Injection USP, utilized for treating acute hypotension in adults. This sequence of regulatory approvals underlines Biocon’s robust execution capabilities across diverse therapeutic areas.
Stock Performance and Market Sentiment
On April 11, Biocon’s stock peaked at ₹322.25, reflecting positive investor sentiment following the JOBEVNE announcement. Despite this gain, the stock is still trading over 20% below its 52-week high of ₹404.60 recorded in January 2025. The stock has shown resilience, recovering from a 52-week low of ₹260 in April 2024.
Over the past year, Biocon has seen an overall gain of around 10%. However, its recent monthly performance has exhibited volatility, declining by 8% thus far in April after a 13% increase in March, which followed a considerable 16.5% drop in February and a minor 1% dip in January.
With these developments, Biocon is poised to not only strengthen its presence in the biosimilars market but also continue its mission of delivering accessible healthcare solutions worldwide.
