Hyderabad-based Jupiter Bioscience would shortly consider the strategic business alliance with Ranbaxy Laboratories Ltd with the approval of the alliance at the meeting of the Board of directors to be held on April 12, 2007.

According to Venkat R Kalavakulanu, chairman and managing director of Jupiter Bioscience, the both parties have signed an in principal agreement. The company would place the duly signed term-sheet before the board for approval.

The company would decide the allotment of equity share warrants on preferential basis to the extent of 14.90 per cent post expanded equity after Qualified Institutional Placement (QIP) and post conversion of Promoter Warrants into Equity Shares, he said.

As Ranbaxy doesn't have a peptide portfolio, it will take up the equity and will avail the peptide formulation for various products for 10 years period. As there are various other formalities to be completed the final agreement is expected by early May 2007, he said.

This agreement will also facilitate commercialisation of peptide formulation based products in shorter time frame and would also give semi-exclusivity to novel products. As Jupiter may take longer time to market peptide products by itself, with this agreement it will have an opportunity to reach to vast global peptide market, he added.

The company is also looking ahead to enter into an in-licensing agreement with a USA based company to market the diagnostic kits for treatment of gastritis and peptide ulcer (Helicobacter pylori). The products would be marketed under the Jupiter's brand name, he said.