Indian pharmas to benefit from potential US funding curbs on Chinese firms, Citi says

Wockhardt

19/12/2025 05:54

** India's Nifty Pharma sub-index .NIPHARM rises 0.8%

** U.S. Senate passes 2026 National Defense Authorization Act, which includes "Biosecure Act" that bars some Chinese biotech companies from receiving federal funding

** Citi says latest version doesn't name specific firms, but defense department indicated a major Contract Development and Manufacturing Organization (CDMO) might be effected

** Brokerage adds risk likely to keep global pharma innovators focused on supply chain diversification, potentially benefiting Indian CDMOs, especially Divi's Laboratories DIVI.NS

** DIVI up as much as 3.4%

** Wockhardt WCKH.NS biggest pct gainer, rising 4.7%, followed by Laurus Labs's LAUL.NS 2.9% advance

** YTD, DIVI up 7% vs NIFTYPHARM's ~3% drop

 (Reporting by Urvi Dugar in Bengaluru)

 ((UrviManoj.Dugar@thomsonreuters.com;))