Abbott has entered into a licensing and supply agreement with Zydus Cadila of India for a portfolio of pharmaceutical products that Abbott is expected to commercialise in 15 emerging markets, enabling the company to further accelerate its emerging markets growth.
As per the agreement, Abbott is expected to gain rights to at least 24 Zydus products in 15 key emerging markets where Abbott has a growing presence. The agreement also includes an option for the addition of more than 40 Zydus products to the collaboration.
The collaboration includes medicines for pain, cancer and cardiovascular, neurological and respiratory diseases. The partnership will leverage Abbott's powerful emerging markets infrastructure to commercialize the Zydus products, with product launches beginning in early 2012.
Abbott has also created a stand-alone Established Products Division (EPD) concentrated on expanding the market for its established pharmaceutical portfolio outside of the US, particularly focused in emerging markets.
EPD is expected to be led by Michael Warmuth, who has experience in Abbott's pharmaceutical business and most recently led Abbott's diagnostics division. Olivier Bohuon, executive vice president of pharmaceutical products group at Abbott, said: "EPD is part of the Pharmaceutical Products Group. Our new Established Products Division, will focus on expanding our presence and product offerings in the world's fastest-growing emerging markets."
Pankaj Patel, chairman and managing director of Zydus Cadila, said: "We have always believed in working with partners for win-win alliances that look at new opportunities for growth and expansion.
"In this alliance we see tremendous opportunity to participate in multiple ways in a market that is growing and expanding rapidly. Building on our mutual strengths we are creating a considerable competitive advantage for value creation for both partners over the long term."