TPI to Develop New Formulation for Flagship Product Gingko Mihuan
CHENGDU, China, Nov. 3, 2011 /PRNewswire-Asia-FirstCall/ — Tianyin Pharmaceutical Co., Inc. (NYSE Amex: TPI, or the “Company”), a pharmaceutical company that specializes in patented biopharmaceutical medicine, modernized traditional Chinese medicine (TCM), branded generics and active pharmaceutical ingredients (API) today announced the formulation expansion program for its flagship product Gingko Mihuan Oral Liquid (GMOL, SFDA certification number: H20013079; patent number: 20061007800225). GMOL, the proprietary prescription medicine for TPI with averaged annual revenue of $22 million, is used nationwide in China to treat brain ischemia and infarction, coronary heart diseases, memory dysfunction and other neurological disorders.
Major components in the Gingko extracts are flavonoids and terpenoids. Flavonoids consist of ginkgoflavone glycoside which are potent antioxidant that reduce capillary fragility which was frequently observed in cardiovascular disorders. Terpenoids consist of ginkgolides and bilobalide that inhibit platelet activating factor (PAF) which in consequence reduce the blood viscosity (Ma et al. J Nat Med. 2011; Maerz et al. Biosci Rep. 2011). GMOL also contains extracts from Gastrodia elata that were used for neurological symptoms such as epilepsy, headaches, dizziness and memory dysfunction (Tsai et al. J Ethnopharmacol. 2011; Kim et al. Molecules 2011).
The current oral liquid formulation for GMOL shows efficient absorption rate after intake, especially for elderly patients who are also afflicted with gastro-intestinal ailments. The new capsule form is more convenient to carry when travel and easy to use. In addition, the cost of production and packaging material prices for liquid formulation has been rising during the recent years. The new capsule formulation will reduce the overall cost of sales by 70% while extending the expiration period to 3 years from the current 2 years for oral liquid form. The new capsule formulation is expected to support the revenue growth of GMOL at approximately 30% year over year and improving the gross margin of GMOL products to 75% or higher. TPI will also apply for patent protection for the new capsule formulation. The research and development cost is estimated at $1-2 million. TPI expects to begin production of the new capsule formulation in approximately 12-15 months.
Headquartered at Chengdu, China, TPI is a pharmaceutical company that specializes in the development, manufacturing, marketing and sales of patented biopharmaceutical, modernized traditional Chinese medicines, branded generics and active pharmaceutical ingredients (API). TPI currently manufactures a comprehensive portfolio of 58 products, 24 of which are listed in the highly selective national medicine reimbursement list, 7 are included in the essential drug list of China. TPI’s pipeline targets various high incidence healthcare indications. TPI has an extensive nationwide distribution network with a sales force of 730 sales representatives out of totaled 1,365 employees.
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SOURCE Tianyin Pharmaceutical Co., Inc.