Glenmark Pharmaceuticals has entered into an agreement with Poland based Celon Pharma to develop and market a generic version of GlaxoSmithKline's Seretide Accuhaler in Europe used for treatment of lung diseases.
Glenmark Pharmaceuticals Europe Ltd has entered into a strategic development and licensing agreement with Celon Pharma SA to develop and market a generic version of GSK's Seretide Accuhaler product - fluticasone and salmeterol dry powder inhaler in Europe upon commercialisation, Glenmark said in a statement.
"As per the terms of the agreement, Glenmark has obtained semi-exclusive marketing and distribution rights of the product across 15 European countries including Great Britain, Germany, Belgium, the Netherlands, Italy, Sweden, Norway and Romania, among others," it added.
Celon, on the other hand, shall receive an upfront payment, followed by certain milestone payments during various stages of the product's development from Glenmark, including royalties on sales, Glenmark said.
The distribution agreement was concluded for a period of 10 years, with an option of a two-year extension, it added.
Commenting on the development, Glenmark Pharmaceuticals Ltd Chairman & MD Glenn Saldanha said: "The deal reinforces Glenmark's growing capabilities in the respiratory segment and is a significant step forward towards building a strong respiratory franchise in Europe."
Seretide, marketed by GlaxoSmithKline, is among the top three pharmaceutical brands in Europe with sales of USD 2.24 billion as per IMS, Glenmark said.
"The common experiences of both companies in the area of manufacturing, commercialisation and distribution of inhaled drugs will translate into greater availability of combination therapy in a DPI inhaler in many European countries," Celon Pharma CEO Maciej Wieczorek said.
The fluticasone/salmeterol dry powder inhaler is a combination product for the treatment of chronic obstructive pulmonary disease.
Glenmark Pharmaceuticals shares were trading 1.32 percent up at Rs 1,033.20 per scrip during afternoon session on the BSE.