Dong-A Pharm, Genexine Prepare For International Competition After Korea-US FTA

Dong-A Pharmaceutical and Genexine entered into a collaboration agreement by signing a contract of the Product co-development
.
The contract encompasses co-commercialization of 1st generation protein drugs under developing in Dong-A and co-development of 2nd generation protein drugs using Genexine's propriotery hybrid Fc-fusion technology.

To prepare for the intensive competition after KORUS FTA ratification, Dong-A has spent much effort to reinforce its development pipelines for new drugs.

Genexine is hoping to launch products in the market as soon as possible after its planned Initial public offering (IPO). Thus, this contract can be considered as strategic alliances which can be beneficial for both companies.

Through the contract, both companies will make efforts to commercialize 'Gonadopin' for foreign markets which is rolled out in the domestic market last year. Gonadopin is a recombinant human follicle-stimulating hormone (rFSH) used for infertility treatment.

Furthermore, both companies agreed to collaborate for co-development and co-commercialization of rFSH and recombinant IFN-ß, a drug for multiple sclerosis, which comply with the guidelines of EMEA (European Agency for the Evaluation of Medical Products) and FDA (Food and Drug Administration).

As of 2006, the global markets for rFSH and rIFN-ß are estimated at US$10.4 billion and US$44 billion, respectively. The companies expect to launch
rFSH and rIFN-ß at 2014 with the estimate sales of US$38 million (2% of the global market) and US$46 million (1% of the global market), respectively.

Furthermore, the agreement for the co-development of 2nd generation of FSH and IFN-ß using hybrid Fc fusion, a Genexine's proprietary technology will be beneficial to both companies in terms of the development period and risk-management.

At 2017 when the 2nd generation drugs of FSH and IFN-ß are expected to be launched, both companies would lead the global markets for FSH and IFN-ß.