Pharma major Dr Reddy’s Laboratories Ltd has entered into a partnership with Merck Serono, a division of Germany-based Merck KGaA, to co-develop biosimilar compounds.
The collaboration will focus mainly on monoclonal antibodies (MAbs) in the oncology segment. The tie-up will also cover manufacturing and commercialisation of the compounds.
"Biosimilars is an important area of future growth and these products give us the opportunity to provide affordable and innovative medicines to patients globally,’’ Mr G.V. Prasad, Chief Executive Officer, Dr Reddy’s, said.
Merck Serono’s and Dr Reddy’s joint expertise in these fields makes for a "powerful" global partnership, he added. Dr Reddy’s now has four biosimilar products.
The partnership is based on full research and development (R&D) cost-sharing method. Dr Reddy’s will lead the early product development and complete the Phase-I development, while Merck Serono will take over the manufacturing of the compounds and will lead the Phase-III development.
Merck Serono will undertake commercialisation globally, outside the US and with the exception of select emerging markets which will be co-exclusive or where Dr Reddy’s maintains exclusive rights.
Dr Reddy’s will receive royalty payments from Merck Serono upon commercialisation. And in the US markets, both parties will co-commercialise the products on a profit-sharing basis, it added. However, additional terms of the deal were not disclosed.