AstraZeneca has inked a license and supply agreement with Torrent Pharmaceuticals Ltd. Under the pact, Torrent will supply to AstraZeneca a portfolio of generic medicines for which the former has already licenses in a range of countries. Working in partnership with Torrent, AstraZeneca intends to brand and market these products in many of its emerging markets, where it already has a strong commercial footprint.
Under the agreement, AstraZeneca will initially purchase from Torrent the licenses and market authorizations for 18 products in nine countries. The agreement allows the flexibility to add further products and new countries where AstraZeneca sees opportunities for growth. Financial terms were not disclosed.
The three decade-old Torrent will manufacture the medicines working to AstraZeneca’s rigorous quality and process standards. The emerging markets are forecast to contribute around 70 per cent of pharmaceutical industry growth in the next five years, and branded generics represent approximately 50 per cent by value in these emerging markets. AstraZeneca believes it can capitalise on this opportunity and over time plans to broaden its portfolio beyond these initial 18 products.
Of late, AstraZeneca has invested significantly in key emerging markets, and has built a strong presence. Expanding the company’s branded generics portfolio will help to leverage its established sales and marketing presence in these countries.
According to Tony Zook, head, AstraZeneca’s global commercial organization, 'working in partnership with Torrent will extend the range of branded medicines we can offer to patients in emerging markets. We have chosen Torrent because of their complementary product portfolio and proven ability to manufacture to our high quality standards'.