Hikma share price: Group inks licence deal with Beijing Sciecure

Hikma Pharmaceuticals (LON:HIK) has inked a licence deal with China’s Beijing Sciecure Pharmaceutical, the FTSE 100 company has said. The agreement will see the London-listed group sell one of the Chinese company’s injectable anti-viral treatments in US.

Hikma’s share price has been subdued in London in today’s session, having shed 0.50 percent to 1,696.50p as of 08:50 GMT. The stock is underperforming the broader UK market, with the benchmark FTSE 100 index currently standing 0.33 percent lower at 6,711.93 points. The group’s shares have added more than 52 percent to their value over the past year, as compared with about a 12.4-percent drop in the Footsie.

Hikma unveils licence deal

Hikma announced in a statement today that it had agreed an exclusive license, supply and distribution agreement with Beijing Sciecure Pharmaceutical. Under the terms of the deal, the FTSE 100 company will have the exclusive rights to sell one of Sciecure’s injectable anti-viral medicines across the US for a minimum of eight years, with an option to extend the partnership for an additional two years.  Sciecure expects to file this product for approval with the US Food and Drug Administration early this year.

The companies have not disclosed the financial terms of the agreement.

Analysts on FTSE 100 group

As of December 29, 2018, the consensus forecast amongst 12 polled investment analysts covering Hikma Pharmaceuticals for the Financial Times has it that the company will outperform the market. JPMorgan Chase & Co reaffirmed its ‘neutral’ rating on the blue-chip group yesterday, with an average price target of 1,800p. According to MarketBeat, the blue-chip group currently has a consensus ‘hold’ rating and an average price target of 1,801.43p.

As of 10:02 GMT, Thursday, 03 January, Hikma Pharmaceuticals Plc share price is 1,688.00p.