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Daewoong Pharmaceutical. (Photo: Daewoong Pharmaceutical) |
[Alpha Biz= Reporter Kim Sangjin] Daishin Securities: Daewoong Pharmaceutical's Nabota Botulinum Toxin Expected to Receive Approval in China by Mid-2025
Daishin Securities on the 16th initiated coverage on Daewoong Pharmaceutical, forecasting that its botulinum toxin product, Nabota (also known as Jeuveau in the U.S.), will likely receive approval in China by the first half of 2025. The firm set a target price of 175,000 KRW and maintained a "Buy" recommendation.
Daishin noted that despite prolonged legal risks, Daewoong has been undervalued for an extended period, with limited impact from the domestic lawsuit outcome on U.S. revenues. "During the litigation, Daewoong's botulinum toxin was successfully launched in both the U.S. and Europe, and we expect no significant impact from the domestic lawsuit as agreements have already been reached," Daishin analysts stated.
Daishin also highlighted Nabota's success in the U.S. botulinum toxin market, where it holds a 13% market share, ranking second. The firm anticipates continued growth driven by increased market penetration in the U.S., approval in China, and the operation of the third botulinum toxin manufacturing plant.
Daewoong Pharmaceutical has recently completed the regulatory inspection for Nabota's commercialization in China and expects results in the first half of 2025.
The Chinese botulinum toxin market is valued at approximately 1.2 trillion KRW, making it the third-largest market globally, following North America and Europe. The analyst also noted that with the completion of the third botulinum toxin plant, which has been under expansion since last year, production capacity will triple, rising from 5 million vials to 18 million vials.
AlphaBIZ Kim SangJin(letyou@alphabiz.co.kr)
