Barclays maintains Over Weight rating on Sun Pharmaceutical Industries

Barclays continues to reiterate its Over Weight (OW) rating on Sun Pharmaceutical Industries as it sees renewed opportunity to drive Doxorubicin growth. Recently, Janssen (J&J) issued an update highlighting that its cancer drug, DOXIL (Doxorubicin HCL Liposome Injection), is likely to be in short supply in the US again. This is due to an interruption of supply from the company's own suppliers, Ben Venue Labs.

Based on current usage trends, J&J expects a shortage from October 2013. Importantly, in Barclays' view, J&J cannot provide an estimate of when DOXIL could be available again and has advised healthcare providers to contact Sun Pharma for availability of Doxorubicin products.

Sun to benefit from J&J's DOXIL shortage (again). Hence, Barclays continues to maintain OW rating.

Source : Equity Bulls

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