Gufic Biosciences share price rises over 4% to hit 52-week high; here's why

Gufic Biosciences share price touched a new 52-week high today and rose by more than 4% on Monday's trading after the company received approval from China's National Medical Products Administration (NMPA) for its product Prilocaine (API), an amide-type local anaesthetic with a quick onset and a medium duration of action. Gufic Biosciences opened at ₹239.55 apiece on BSE, and hit an intraday high of 245 and low of ₹235.85. The stock closed at ₹237.65, 2.19% higher.

According to the company's exchange filing, this approval will aid in the commercialization of the aforementioned product in China and the study of the Chinese market.

Similar to lidocaine in terms of its clinical characteristics, prilocaine is used for spinal and epidural anaesthesia, peripheral nerve blocks, and infiltration. Additionally, it is utilised for surface anaesthesia when combined with lidocaine.

The company announced on its Q4FY23 results conference call that Biapenem and dual chamber bags have been approved by the Drugs Controller General of India (DCGI).

Additionally, the company reported that the Ceftazidime+Avibactam launch was very successful and that it had a positive initial response. Additionally, it should be able to strengthen its position in the market for this specific product in the upcoming year.

In H1 of the upcoming year, the company also intends to introduce the once-weekly anti-infective Dalbavancin for the first time in India. In the upcoming year, the business will also make both of these molecules  available to a small number of its CMO partners.

On the technical front, the stock price rose 11.7% and underperformed its sector by 7.8% in the past year.

According to Rajesh Bhosale - Equity Technical and Derivative Analyst, Angel One, prices witnessed strong traction on Friday backed with volumes and today we are seeing follow up movement, it has also given a range breakout on the weekly chart and this rally is likely to continue in the near term, 265 is the next resistance whereas 225 is support.