Glenmark Generics Inc, a wholly-owned subsidiary of Glenmark Generics Ltd, has entered into an exclusive licensing agreement with the US arm of Israel-based Taro Pharmaceuticals to sell a branded drug product in the US market.
Taro Pharmaceutical will be the exclusive US distributor for the product and Glenmark will receive milestone payments and royalty on sale, said a press release.
Under the agreement, Glenmark will manufacture the US Food and Drug Administration (FDA) approved product exclusively for Taro USA from its plants in Goa. Taro USA’s branded division, TaroPharma, will sell the product. Glenmark will receive milestone payments and a royalty on sales. Both Taro and Glenmark did not announce additional terms of the agreement.
Sources said the product would have a peak sale opportunity of close to $60 million in the US, as Glenmark was the only company other than the innovator to develop the product.
Analysts said the US branded business required a sales force network, and the tie-up with Taro would help Glenmark Generics foray into branded generics in a big way.
