AsianScientist (Aug. 27, 2012) – Pfizer Inc. and Mylan Inc. have signed an agreement to establish an exclusive long-term strategic collaboration to develop, manufacture, distribute, and market generic drugs in Japan.
Under the terms of the agreement, Pfizer’s responsibilities primarily consist of the commercialization of the combined generics portfolio, managing a combined marketing and sales effort using its strong brand reputation, and exceptional track record of bringing new products to the market.
Mylan’s responsibilities primarily consist of managing operations, including research and development and manufacturing, building upon the company’s strong global reputation for development of difficult to formulate products, quality manufacturing, supply chain reliability, and service excellence.
The collaboration between Pfizer and Mylan will include a portfolio of more than 350 marketed products across a broad range of therapeutic categories, as well as more than 125 additional products in development. Products included in the collaboration are expected to be sold under the Pfizer brand with joint labeling.
“Over the past 59 years, Pfizer Japan has built trust with patients and customers, and developed a very strong Pfizer brand. We are committed to delivering high quality medicines and believe this agreement will help us accelerate our ability to achieve our vision: Transform the Japanese Healthcare Environment with Established Products by 2020,” said Albert Bourla, President and General Manager of Pfizer’s Established Products Business Unit.
Mylan’s CEO, Heather Bresch, commented: “With contributions from both companies, we believe the collaboration will result in a powerful generics platform that we believe will be a leader in Japan in terms of scale, scope and quality.
According to IMS Healthcare’s 2012 Market Prognosis, Japan is the second-largest pharmaceutical market in the world, behind the U.S., and the sixth largest generic retail prescription market worldwide, with sales of approximately US$5.2 billion in 2011.
The Japanese market offers attractive growth prospects due to factors such as its aging population, numerous impending drug patent expiries, and a broad array of government initiatives aimed at reducing health care expenditures. The Japanese government intends to grow the current volume of generic utilization from approximately 24 percent to 30 percent by the end of 2012.
Under the agreement, Pfizer and Mylan will each continue to operate independent entities in Japan, but will collaborate on current and future generic products, sharing the costs and profits resulting from the collaboration. The transaction remains subject to the satisfaction of certain closing conditions. Transaction terms remain confidential.
Source: Mylan Inc.
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