 "Dilip Shanghvi")
Drug major Sun Pharmaceutical and Spanish firm Almirall have entered into a licensing pact for development and commercialisation of tildrakizumab used for treatment of psoriasis in Europe.
"Under terms of the licence agreement, Almirall will pay Sun Pharma an initial upfront payment of $50 million," the two companies said in a joint statement.
Sun Pharma will be eligible to receive development and regulatory milestone payments and additionally sales milestone payments and royalties on net sales, the terms of which are confidential, it added.
"Tildrakizumab is an investigational IL-23p19 inhibitor currently being evaluated in patients with moderate-to-severe plaque psoriasis," the statement said.
As per the agreement, Almirall will be able to lead European studies and participate in larger Global clinical studies for psoriasis, subject to the terms of Sun Pharma-Merck agreements, as well as certain cost sharing agreements, it added.
While Sun Pharma will continue to lead development of tildrakizumab for other indications, where Almirall will have right of first negotiation for certain indications in Europe, the statement said.
Commenting on the development, Sun Pharma MD Dilip Shanghvi said: " We are proud to be partnering with a regional leader in dermatology, like Almirall, to bring tildrakizumab to the European market."
Sun Pharma is committed to growing it's dermatology franchise, with tildrakizumab as the lead investigational compound. The company continues to build its pipeline and capabilities in this important therapeutic area of significant unmet need, he added.
"This agreement with Sun Pharma allows us to add a novel biologic for treatment of psoriasis to our extensive dermatology portfolio," Almirall President Jorge Gallardo said.
The license agreement also has a provision for possible co-promotion agreement at some point in the future, subject to certain conditions, the statement said.
In 2014, Sun Pharmaceutical Industries wholly owned subsidiary had acquired worldwide rights to tildrakizumab from Merck (through a Merck subsidiary).
Shares of Sun Pharmaceutical Industries were today trading at Rs 822 per scrip in the afternoon trade on BSE, up 1.76 per cent from its previous close.
