One of Sun Pharmaceutical Industries’ subsidiaries has signed a licensing pact with a China Medical System Holdings’ subsidiary for the creation as well as commercialisation of a product that is used to treat psoriatic arthritis and psoriasis, announced the Mumbai-headquartered drug major on Thursday.
The pact is for the creation as well as commercialisation of the biologic product Tildrakizumab in Greater China, including Hong Kong Special Administrative Region, Mainland China, Taiwan and Macao Special Administrative Region.
As a part of the agreement, China Medical System is entitled to pay sales and regulatory payments, royalties earned on net the sales as well as an initial up-front payment to Sun Pharma. However, the company has not disclosed the terms of these decisions citing confidentiality.
The agreement marks Sun Pharma’s entry in Greater China Market which is currently the world’s second biggest pharmaceutical market, said Dilip Shanghvi, MD of Sun Pharma. The company is committed to expanding is dermatology products, with the help of product Tildrakizumab as a lead product, Shanghvi further said. The company continues to develop its pipeline as well as capabilities in such a significant therapeutic region of unmet need, he added.
The agreement will be valid till 15 years initially and might be extended later for an additional 3 years based on the terms of the pact.