Dr Reddys Laboratories and ClinTec International has announced that, they have entered into an agreement for the joint development of an anti-cancer compound, DRF 1042, belonging to the Topoisomerase inhibitors class of compounds for use as potential treatment of various types of cancer.

The company has completed phase 1 clinical trials for DRF 1042 in India. Under the terms of the agreement, the company and ClinTec International will co-develop DRF 1042; undertaking phase II and phase III clinical trials, with the aim of securing US FDA and EMEA approvals, a company release said.

Under the terms of the agreement, the company retains the commercialisation rights for the US and rest of the world markets (excluding ClinTec International territories). ClinTec International will be granted the commercialisation rights for most of Europe including major European markets.

On commercialisation of the product, the company will receive royalty on sales by ClinTec International in its designated territories and ClinTec International will receive royalty on sales by the company in the US. In the event, either party out-licenses the drug product; the proceeds from such an arrangement will be shared by both the parties in a pre-determined ratio (excluding the company territories outside the US). The company will also retain the exclusive rights to supply commercial quantities of the drug product.

The financial terms of the agreement have not been disclosed.

Commenting on the co-development and commercialisation deal, GV Prasad, CEO, of the company said, "We are excited about the R&D collaboration with ClinTec International as it will bring a very exciting cancer drug to the market and is a step forward in our efforts to transform ourselves into a discovery led global pharmaceutical company. ClinTec International brings to this partnership their vast experience and in-depth expertise in the anti-cancer clinical development space. We look forward to this exciting collaboration with Clintec International."