Torrent enters exclusive licensing deal with Reliance Life Sciences for three biosimilars

Ahmedabad, India-based Torrent Pharmaceuticals (BSE: 500420) last week entered into an exclusive licensing agreement with privately-held Indian drugmaker Reliance Life Sciences for marketing three biosimilars in India – Biogen Idec (Nasdaq: BIIB and Roche’s (ROG: SIX) MabThera/Rituxan (rituximab), AbbVie’s (NYSE: ABBV) Humira (adalimumab) and Erbitux (cetuximab), marketed by Bristol-Myers Squibb (NYSE: BMY) and Germany’s Merck KGaA (MRK: DE).

Under the accord, Reliance will develop and supply these products to Torrent after obtaining all necessary regulatory approvals. Torrent will be the only company to market these biosimilars in India other than Reliance.

Torrent forayed into the oncology and dermatology segments in 2011-12 with the launch of exclusive divisions and has since gained a strong position in these segments. The licensing agreement with Reliance is expected to significantly boost its presence in these segments in the coming years.

Rituximab and cetuximab cater to the oncology segment and are used in the treatment of various cancers such as leukemia, lymphoma, colorectal, head and neck cancers. Adalimumab is the most preferred therapy for the treatment of auto immune disorders like rheumatoid arthritis, psoriasis and IBD.

As per the terms of the deal, Reliance will manufacture these products at its facility in Navi Mumbai and supply to Torrent for a period of ten years.

Torrent has in the past launched the biosimilar darbepoetin under the brand name of Darbatitor, which is used during dialysis. Its around $325 million acquisition of the domestic formulations business of Elder Pharma has already given it a strong foothold in the pain management segment.