Biocon, Pfizer in $350 mn insulin marketing deal

Bs_logoImage
Press Trust of India New Delhi
Last Updated : Jan 21 2013 | 5:24 AM IST

The world's top drug maker Pfizer said on Monday it has entered into a deal to sell drug maker Biocon biosimilar versions of diabetes treatment insulin.

Under the deal, Pfizer will pay Biocon $200 million up front. Biocon will also be eligible to receive additional development and regulatory milestone payments of up to $150 million plus payments related to sales of these medicines, Pfizer added.

Pfizer will have exclusive rights to commercialise Biocon's drugs -- recombinant human insulin, Glargine, Aspart and Lispro -- globally with certain exceptions, such as Germany, India and Malaysia, where Biocon will have co-exclusive rights.

Shares in Denmark's Novo Nordisk, the world's biggest indulin maker, were down 1.76 per cent on Monday.

Emerging markets are a priority for Western drug companies such as Pfizer, as they face slowing sales in their home markets and cheap off-patent drugs that can be sold in high volumes under a multinational brand are an attractive market opportunity.

Shares in Biocon, which was set up by Kiran Mazumdar-Shaw in her garage in 1978, have skyrocketed 46 per cent this year, outpacing the benchmark index's 15.5 per cent rise in the period.

Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Access to Exclusive Premium Stories Online

  • Over 30 behind the paywall stories daily, handpicked by our editors for subscribers

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: Oct 18 2010 | 5:37 PM IST