The auction, which lasted just two days, got total bids worth Rs9,407.64 crore, just one-third of the minimum Rs28,000 crore the government was expecting
Under the terms of the option agreement, Bristol- Myers Squibb will have the right to exercise an option to obtain an exclusive worldwide licence to the programme
New Delhi: Biotechnology major Biocon today said it has entered into an agreement with Bristol-Myers Squibb for it’s oral insulin new drug candidate IN-105, reports PTI.
Under the terms of the option agreement, Bristol- Myers Squibb will have the right to exercise an option to obtain an exclusive worldwide licence to the programme.
It will, however, conduct the clinical trials according to a pre-agreed development programme up to the completion of Phase II, as per the agreement, Biocon said.
If the US-based company exercises the option to licence IN-105, following the successful completion of Phase II trial, the domestic firm will receive a licence fee in addition to potential regulatory and commercial milestone payments and royalties on commercial sales outside India, it added.
Biocon said it will retain the exclusive rights to IN-105 in India.
Bristol-Myers Squibb will assume full responsibility for the development programme, including all development and commercialisation activities outside India, it added.
Commenting on the development, Biocon MD and chairman Kiran-Mazumdar Shaw said: “This agreement is one huge step closer to realising the dream of bringing oral insulin to market”.
Diabetes is a chronic disease that affects about 350 million people worldwide and it is estimated that direct and indirect costs of the disease to overall healthcare system amounts to over $650 billion worldwide, Biocon said.
Dr Reddy’s currently holds an irrevocable commitment from shareholders representing over 50% of OctoPlus’ issued and outstanding shares