Zydus Lifesciences gains on biologics CDMO partnership

Zydus Lifesciences Limited shares rose 1.58% to Rs 1,135 after unit Zylidac Bio announced a partnership with Prolific Machines. Support is at Rs 1,080. Zydus Lifesciences Limited [

] shares rose 1.58% to Rs 1,135 on 22 October, amid news of a new partnership. The session opened at Rs 1,116.00, touched a low of Rs 1,100.30 and a high of Rs 1,138.50. Zylidac Bio, the biologics contract development and manufacturing arm of the Zydus group, announced a partnership with biotechnology company Prolific Machines. The tie-up aims to scale Prolific’s platform from early-stage development to good manufacturing practice production. No financial terms were stated, so the effect on earnings is not visible. The stock hit a 52-week high at the end of September and then corrected more than 10%. On the daily chart, it has now bounced from a rising trend line that has held on earlier tests, which is an early sign of a rebound. In my view, the bias is positive while this line holds. The news supports sentiment. A move above the Rs 1,170 resistance would bring the September high into focus. A fall below the Rs 1,080 support would weaken the rebound view and put lower levels in view. Positive bias while price holds above Rs 1,080. Disclaimer: I do not hold any position in this. This content is for informational purposes only and is not a recommendation to buy or sell. Investments in securities are subject to market risks. Please read all related documents carefully before investing.