Jun 06, 2012, 02.08 PM | Source: Reuters
DRREDDYSLABORATORIES-BRIEF:Merck KGaA, Dr. Reddy's to cooperate on biosimilars
The deal is the latest example of drug companies jumping into a new space that is opening up as patents on biotech medicines expire.
"Sharing know-how, risks and rewards is the right approach to enter the emergent biosimilars market and will be a win-win for both parties," Merck executive board member Stefan Oschmann said in a statement on Wednesday.
Under the agreement, Merck and Dr. Reddy's will co-develop molecules and Dr. Reddy's will lead early product development and testing.
Merck will manufacture the compounds and lead late-stage development. It will also handle commercialisation in large parts of the world and will pay Dr. Reddy's royalties.
(Reporting by Maria Sheahan)