Biocon announces agreement with Abraxis BioScience

Biocon Ltd has announced that Abraxis BioScience, Inc. an integrated, global biopharmaceutical Company and the Company on July 19, 2007 announced an agreement wherein Abraxis will license the right to develop a biosimilar version of G-CSF (granulocyte-colony stimulating factor) in North America and the European Union. Under the terms of the agreement, the Company will receive an upfront licensing fee and, following approval in the licensed territories, royalties from Abraxis BioScience. Detailed financial terms of the agreement were not disclosed.

G-CSF is an haematopoietic growth factor that works by encouraging the bone marrow to produce more white blood cells. Therapeutic G-CSF is primarily used for the treatment of neutropenia, the lowering of the white blood cells that fight infections. The Company has received regulatory approval from the Indian DCGI for the treatment of neutropenia in cancer patients and intends to launch the product in India through its Oncotherapeutics division.

"Abraxis Bioscience is an ideal partner for Biocon as we increase our focus on oncology. We are confident that both partners will realize success in attaining market leadership for G-CSF in their respective markets", said Kiran Mazumdar-Shaw, chairman and managing director of the Company. "The present licensing arrangements will certainly pave the way to other opportunities in the foreseeable future."

The biological activity of the Company's G-CSF used in clinical trials was evaluated by NIBSC (National Institute of Biological Standards and Control), UK, which provides independent testing of biological medicines. The NIBSC found that the potency of the Company's drug met the necessary requirements of a biosimilar G-CSF.

Source : Equity Bulls

Keywords