Pfizer, Biocon in $350 million insulin pact

MUMBAI: The world’s largest drug manufacturer, Pfizer Inc, has entered into a $350-million global agreement to market Bangalore-based Biocon’s biosimilar versions of insulin for diabetes treatment.
This is Pfizer’s fourth marketing deal with a domestic company — after Aurobindo , Claris LifeSciences and Strides Arcolab — and also first biotech deal from India.
Under the agreement, announced on Monday, Pfizer will make upfront payments totaling $200 million and an additional development and regulatory milestone payments of up to $150 million which will be linked to sales (of biosimilar insulin) across global markets. Drug MNCs, faced with slowing sales in their home markets, are aggressively focusing on emerging markets by entering into such supply agreements.
Pfizer will hold exclusive rights to commercialize insulin products like recombinant human insulin, Glargine, Aspart and Lispro globally, except in certain markets. It will co-market the products with Biocon in Germany, India and Malaysia, a joint statement by the companies said.
Commenting on the alliance , Kiran Mazumdar-Shaw , CMD of Biocon, said: “This is a significant inflection point in our globalization path. Pfizer and Biocon bring together a winning combination of marketing , manufacturing and research excellence which can build a formidable global footprint in diabetes care. Pfizer brings brand strength and an unrivalled marketing network that will enable Biocon to realize its objective of seeing its Insulin portfolio have a world-wide presence."