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Diurnal Group (LON: DNL) shares have been boosted Thursday following its announcement of a distribution agreement with ExCEEd Orphan for the distribution and marketing of Alkindi and Efmody in Central and Eastern Europe.
The deal will see ExCEEd Orphan receive the exclusive rights to distribute and market Alkindi and Efmody in Albania, Bosnia and Herzegovina, Croatia, Czechia, Hungary, Kosovo, Montenegro, North Macedonia, Poland, Serbia, Slovakia, and Slovenia.
The company said based on estimates and research conducted by ExCEEd Orphan, there are estimated to be around 9,500 patients in the region suffering from paediatric adrenal insufficiency (AI) and adult congenital adrenal hyperplasia (CAH).
Diurnal will provide Alkindi and Efmody from its European supply chain to be sold by ExCEEd Orphan.
“This agreement adds to the Company's ongoing strategy for commercialisation of its lead products by optimising market access outside of the larger European markets, where Diurnal directly markets its products, through entering marketing and distribution agreements with companies focused on niche and orphan conditions,” the company said in its statement.
The agreement means the company's 2 lead products will now be available in over two-thirds of the European Economic Area (EEA).
ExCEEd Orphan will also work to make the products available in territories beyond this region.
Martin Whitaker, CEO of Diurnal, commented: “Following this agreement, Diurnal's products are now available to over two-thirds of the EEA population and we are looking forward to working with ExCEEd Orphan who have a strong track record of launching orphan medicines within this region.
“As Efmody has now launched for patients in Europe, this agreement is in line with our commercialisation strategy in order to optimise global market access for our products outside of large European markets.”
Diurnal shares traded to a high of 61.5p following the news. At the time of writing, they are currently trading at 61p, up 0.25% from Wednesday's close.
Diurnal shares are traded on the London stock exchange's AIM market (the alternative investment market), which is the submarket specifically for smaller companies. AIM stocks are attractive to investors as they have tax advantages and smaller companies have the potential to benefit from rapid growth. But are DNL shares the best buy? Our stock market analysts regularly review the market and share their picks for high growth companies
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