GSK-Dr Reddy’s alliance to register their first product in 2014

GSK refuses to name the product or the therapeutic segment it falls under

 GlaxoSmithKline Plc (GSK) and Dr. Reddy’s Laboratories Ltd will register their first product in the European Union (EU) this calendar year, under a partnership struck five years ago mainly to tap emerging markets for medicines.

GSK in June 2009 entered into an alliance with Dr. Reddy’s to develop and sell select products across emerging markets outside India in fast-growing therapeutic segments such as cardiovascular, diabetes, oncology, gastroenterology and pain management.

“We are filing European dossier for one fixed dosage combination,” saidRogerio Ribeiro, senior vice president and area head, emerging markets and Asia-Pacific, at GSK.

Ribeiro refused to name the product or the therapeutic segment it falls under, only saying the product will be launched in other emerging markets after it is approved in Europe.

It typically takes one-two years for a medical product to be approved once registered in Europe, he said.

Under the terms of agreement, GSK will gain access to Dr. Reddy’s diverse portfolio and future pipeline of more than 100 branded generic medicines. Revenues will be reported by GSK and will be shared with Dr. Reddy’s. In certain markets, the products will be co-marketed by Dr. Reddy’s and GSK.

GSK also tied up with Hyderabad-based vaccine maker Biological E. Ltdlast year for early stage research and development of a six-in-one combination paediatric vaccine to cater to India and other developing countries against polio and other infectious diseases.

If approved, the vaccine, which would combine GSK’s injectable polio vaccine and Biological E’s pentavalent vaccine for diphtheria, tetanus, whooping cough, hepatitis B and Haemophilus influenzae type b.

With dwindling sales growth in the US and Europe, global drugs companies are competing to expand in emerging markets, where selling large volumes at lower prices is more important.

GSK’s Indian subisdary, Glaxosmithkline Pharmaceuticals Ltd, made a revenue of Rs.2,599.9 crore in the year ended December 2012.

GSK said it plans to start its greenfield manufacturing facility in India near Bangalore to make tablets and oral liquids in the next three years at a total investment of Rs.864 crore.

Source: http://www.livemint.com/Companies/38rtJQ20wXsidgI5SL94bO/GSKDr-Reddys-alliance-to-register-their-first-product-in-2.html