Laurus Coverage MOSL.pdf (661.8 KB)
Please bare with me if the content is boring, the more we (I) read the easier it will be reading an article or report to understand things which is new to you ( Me)
Pharmaceutical Fermentation
Depending on the application, the term fermentation can have a number of meanings. In a physiological sense, fermentation refers to a process that produces energy by breaking down energy rich compounds under anaerobic conditions. In a biotechnological context, however, this term is used in a much broader sense; thus, fermentation describes a process in which micro-organisms that are cultured on a large-scale under aerobic or anaerobic conditions convert a substrate into a useful product.
FDF - Finished Dosage Forms
API - Active Pharmaceutical Ingredient
CDMO - Contract Development and Manufacturing Organization
CRAMS - Contract Research and Manufacturing Service
CRO - Contract Research Organization
CMO - Contract Manufacturing Organizations
NCE - New Chemical Entities
Custom Synthesis - means the exclusive synthesis of compounds on behalf of the customer, i.e., you can order a specific molecule that is only synthesized on your request on the scale, with the purity and with the specification or methods you require.
There is a big difference between the conditions used for small-scale custom synthesis of entirely new molecules and those used for standard multi ton per annum manufacturing
Compounds - Impure Substance || Has two or more kinds of atoms || Represented by chemical formula || Samllest particle is molecule
A customer asks a CDMO organisation (Laurus) to develop a compound based on the specific molecule ( this is confidential chemical bonding developed by the client )
For example Tenofovir ( Tenofovir disoproxil - Wikipedia )
Enzymes :
The word resistance goes parallel with antibiotics. Over the last few decades, the emergence of multidrug-resistant bacteria has forced researchers to move to a new path where certain enzymes or proteins produced either in the infected cell or inside the bacteria itself can be used as an alternative to traditional antibiotics.
Enzymes are highly targeted, rapidly killing microbial pathogens without inducing resistance phenotypes. Enzyme therapy not only is a safer alternative to antibiotics, but it will automatically lower the number of bacterial- or fungal-resistant strains. We do not anticipate total replacement of antibiotics by enzybiotics; instead they could be used in synergism with antibiotics.
In the modern world, enzymes are not just catalysts but also “tools” that modify the process based on the requirement. Enzymes hold key functions in the reactions where other alternatives fail to deliver the desired outputs. The main features of enzymes are their specificity, reusability, and non-formation of unwanted by-products that may contaminate the product as well as the environment. These features have made enzymes a popular choice in the biopharmaceutical sector. The increased use of enzymes is also attributed to high efficiency and low cost achieved by adapting modern techniques such as strain improvement, mutations, genetic engineering, recombinant DNA technology, etc. Additionally, the enzyme activity can be controlled by physical or chemical methods making them applicable to a wide range of processes. Enzyme application in various fields is possible due to the continuous research in biotechnology.
The way world is moving away from towards non fossil fuels to clean energy, Organic food similarly in the pharma / chemical sector there is strong shift towards reducing dependency on the toxic chemicals ( positive effects on the environment )
Here are the few examples
https://www.ecolab.com/offerings/automated-washing/enzymatic-detergent (Eco labs is the world leader in cleaning chemicals, most of the QSRs (Quick Service Restaurants ) like Mc Donald, Subway, Big Pharma companies uses environment friendly chemicals ( I don’t know this is one of the parameter in ESG { Environmental, social and corporate governance } investing
Probiotic - are live microorganisms promoted with claims that they provide health benefits when consumed, generally by improving or restoring the gut flora (Yakult is very popular in the western world, its type of Yogurt )
Richcore has similar capabilities (Vaccines manufacturing Biotech / Life Sciences )
Below are various types of Covid vaccines
mRNA vaccines contain material from the virus that causes COVID-19 that gives our cells instructions for how to make a harmless protein that is unique to the virus. After our cells make copies of the protein, they destroy the genetic material from the vaccine. Our bodies recognize that the protein should not be there and build T-lymphocytes and B-lymphocytes that will remember how to fight the virus that causes COVID-19 if we are infected in the future.
Protein sub unit vaccines include harmless pieces (proteins) of the virus that cause COVID-19 instead of the entire germ. Once vaccinated, our immune system recognizes that the proteins don’t belong in the body and begins making T-lymphocytes and antibodies. If we are ever infected in the future, memory cells will recognize and fight the virus.
Vector vaccines contain a weakened version of a live virus—a different virus than the one that causes COVID-19—that has genetic material from the virus that causes COVID-19 inserted in it (this is called a viral vector). Once the viral vector is inside our cells, the genetic material gives cells instructions to make a protein that is unique to the virus that causes COVID-19. Using these instructions, our cells make copies of the protein. This prompts our bodies to build T-lymphocytes and B-lymphocytes that will remember how to fight that virus if we are infected in the future.
I have gone through the earlier coverage from Dolat Capital - it is good scrutinize the numbers, but end of the day it is not always about numbers, numbers and numbers. Quality of the management, product portfolio, is it in Niche market segment, unlike other industry this type of industry (the nearest comparison is IT where assets are peoples and their expertise) need human resources with solid educational and research background. I am glad to see MOSL report covered some functional aspects of the company. If anyone disagree with this part feel free to say (send me a PM) I will delete this part.
Let us learn together.
