GlaxoSmithKline (GSK) has granted a voluntary licence under its patents to Feza Pharmaceuticals, a South African joint venture between Creative Outsourcing Solutions International (South Africa) (COSi) and African Healthcare Solutions (AHS), for the manufacture, import and sale of antiretrovirals (ARVs) containing zidovudine and/or lamivudine in South Africa.

Feza will initially import ARVs into and distribute within South Africa. The marketing of Feza's ARVs will be supported by AHS. It is contemplated that once COSi has obtained necessary regulatory clearances, negotiations which will allow manufacture in South Africa and wider distribution rights will commence, release from GSK said.

"This announcement amplifies GSK's long-standing and continuing commitment to improve access to medicines in developing countries - a commitment the company is very proud of and will maintain far into the future," Michael Spector, general manager: Pharmaceuticals, GSK South Africa says adding, "We are pleased that another local healthcare company will play a significant role in addressing the HIV/AIDS crisis."

Tony Lesch, CEO of COSi, commented: "Cooperation of this nature personifies COSi's and AHS's commitment to developing important building blocks towards establishing a healthier society. The privilege of being granted a licence by a leader in healthcare such as GSK, as well as partnering with local healthcare company AHS, to address a pandemic of this magnitude is an important step forward for COSi. "

"This licence provides us with the opportunity to take this step forward. With eleven years of pharmaceutical contract manufacturing experience, we understand what is required to ensure the success of this venture and we have the necessary capability and skills to embrace and contribute to fighting the HIV/AIDS crisis facing our country today," he added.

Managing director of AHS, Harold Basson, said: "We are pleased with the way GSK has embraced the voluntary licence process where they have shown commitment, faith and trust throughout. This move will allow us to market these life-saving drugs at an affordable price."

To facilitate the distribution of reduced-price product in relation to this voluntary licence, Shire Pharmaceuticals Group plc, which has a Master Licence agreement with GSK, has agreed to waive or reduce its rights to royalty payments from GSK for products containing lamivudine.

GlaxoSmithKline has now granted three voluntary licences to African generics companies for the sale of some of its antiretrovirals in South Africa, two of which extend to Sub-Saharan Africa - Feza Pharmaceuticals, Aspen Pharmacare and Thembalami Pharmaceuticals (Pty) Limited, the release added.