VaxGen Inc. has announced that its joint venture, Celltrion, Inc., has entered into an agreement to manufacture biologic products being developed by Bristol-Myers Squibb Company. Although commercial terms of the agreement were not disclosed, the agreement is believed to represent the largest biologics manufacturing contract for an Asian biopharmaceutical contract manufacturer, according to a company release.

The Celltrion facility, located in Incheon, South Korea, is capable of producing multiple products, including Bristol-Myers Squibb's abatacept and belatacept. Technology transfer activities are expected to begin immediately. Production of product, which will be manufactured according to US. cGMP standards, is expected to utilize a significant portion of Celltrion's 50,000 litres of bioreactor capacity.

Celltrion was established in 2002 by VaxGen and three South Korean partners: Nexol Corp., KT&G Corp., and J. Stephen & Co. Ventures Ltd. VaxGen provided technology, know-how and training while the South Korean partners provided funding for the joint venture. VaxGen is the single largest stockholder in Celltrion, with a 32 per cent stake in the joint venture.