Ascelia Pharma's Chinese Patent Boosts Orviglance's Market Potential
Monday, Dec 23, 2024 4:43 am ET
4min read Ascelia Pharma, a Sweden-based biotech company, has received a significant boost for its Orviglance franchise with a patent grant in China for the second-generation effervescent tablet formulation. This patent, valid until 2040, strengthens Ascelia Pharma's competitive position in the Chinese market for contrast agents and opens up new revenue streams.
Orviglance is a novel oral contrast agent for MR-imaging, developed to improve the detection and visualization of focal liver lesions in patients with reduced kidney function. The global market for liver MRI contrast agents is valued at approximately USD 800 million annually, with China being the world's second-largest pharmaceutical market. Ascelia Pharma's patent grant in China secures a strong foothold in this lucrative market.
The patent covers the effervescent tablet formulation of Orviglance, making it easier for patients and healthcare professionals to use. This user-friendly formulation, combined with the patent's long duration, enhances the value proposition of the Orviglance franchise. Ascelia Pharma can now offer exclusive licensing opportunities to Chinese pharmaceutical companies, attracting strategic partnerships and collaborations.
With a market cap of SEK 288.32 million and a strong pipeline, Ascelia Pharma is well-positioned to capitalize on this opportunity. Assuming a conservative 5% market share in China, Orviglance could generate USD 40 million in annual sales by 2030, with steady growth throughout the patent's duration. This revenue projection, combined with the patent's protective effect on Ascelia Pharma's competitive landscape, underscores the significance of this patent grant.
Ascelia Pharma's patent grant in China for the second-generation Orviglance significantly enhances its competitive position and expands its market reach. With a patent protection until 2040, Ascelia Pharma secures a strong foothold in the Chinese market for contrast agents, potentially deterring competitors from entering or challenging its position. This patent, combined with Orviglance's Orphan Drug Designation by the US FDA, further strengthens Ascelia Pharma's value proposition, making it a compelling investment opportunity in the biotech sector.
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