The deal between pharma majors Ranbaxy and Teva for the sale of generic version of blockbuster cholesterol drug - Lipitor has sure come as a surprise to the street. Industry sources tell PharmAsia News that Ranbaxy forged the Teva Lipitor deal as a back-up plan to try and ensure an on-time launch.
Speaking to CNBC-TV18, Vikas Dandekar of PharmAsia News says that two options were discussed between the two companies. One was that Teva launches the product, but for all the Atorvastatin filing that gets transferred to Teva, Teva will pay a lump-sum to Ranbaxy and that sum will be paid back by Ranbaxy if Ranbaxy manages to get the approval from FDA.
"So the common belief has been there that it's free money that Teva got, but apparently, there was a deal which insured that Teva gets some parts of the profits from Lipitor sales according to the agreement," he explains.
