News

Morepen Labs Secures ?825 Crore Global CDMO Contract, Shares Rally on BSE

Morepen Laboratories’ stock jumped sharply after announcing a multi-year CDMO mandate worth approximately ?825 crore from a leading global pharmaceutical company.

• By PharmaNews Live Desk
• New Delhi
• Feb 23, 2026

News

Morepen Laboratories Ltd saw its stock surge sharply on Monday after the company disclosed that it has won a substantial multi-year Contract Development and Manufacturing Organization (CDMO) mandate valued at around ₹825 crore (approximately USD 91 million) from a prominent global pharmaceutical firm.

In early trade on the BSE, Morepen’s shares zoomed more than 13 per cent to about ₹44.57, making it one of the top gainers in the ‘A’ group segment.

Contract Details and Timeline

According to the company’s filings and press releases, supplies under the new mandate are expected to begin within the next 4-5 months, with execution planned through the first quarter of the upcoming financial year 2026–27 — subject to customary operational and regulatory approvals.

Morepen described the deal as one of the most significant single CDMO contracts in its history, underscoring its growing footprint in high-value global outsourcing of pharmaceutical manufacturing.

Strategic Significance for Manufacturing and Growth

Built on over four decades of active pharmaceutical ingredient (API) manufacturing expertise, Morepen’s CDMO platform aims to facilitate deeper collaborations with global pharmaceutical innovators under structured, long-duration supply arrangements. The company’s internationally accredited facilities, including approvals from USFDA, WHO-GMP and EU regulators, support its ability to meet stringent regulatory expectations in global markets.

The mandate is expected to help Morepen scale its global manufacturing footprint, augmenting its existing portfolio that includes APIs, branded generics, medical devices and consumer wellness products.

Management Perspectives

Commenting on the development, Sushil Suri, Chairman and Managing Director of Morepen Laboratories, highlighted the strategic importance of the new contract:

“This mandate represents an important milestone in the evolution of Morepen’s manufacturing platform. We view CDMO as a natural extension of our established API strengths, creating additional avenues of scale, stability, and long-term value creation while continuing to reinforce our core businesses.”

In a detailed statement to the press, Kushal Suri, President – International Growth (API), added that the mandate reflects strong customer confidence and validates the company’s “ability to qualify, execute, and deliver under regulated-market expectations.” He noted that the programme was driven end-to-end with technical, regulatory, and commercial scale-up capabilities built for quality, continuity and scale.

Market Reaction and Outlook

The surge in Morepen’s share price — with intraday gains reportedly ranging up to 15-19 per cent across trading platforms — highlights strong investor response to the contract win.

As Morepen prepares to execute the multi-year mandate, the company continues to evaluate capacity enhancements and technology investments aligned with an expanding pipeline of CDMO opportunities.