Jubilant, AstraZeneca in drug research deal
Jubilant Biosys Ltd has signed a research collaboration agreement with, AstraZeneca under the shared risk-reward collaboration, which will initially focus on the neuroscience area. HT Correspondent reports.business Updated: May 05, 2009 22:38 IST
Jubilant Biosys Ltd has signed a research collaboration agreement with, AstraZeneca under the shared risk-reward collaboration, which will initially focus on the neuroscience area.
Jubilant Biosys, a subsidiary of Jubilant Organosys Ltd, focusses on delivering drug candidates into the international pharmaceutical company’s pre-clinical pipeline and aims to deliver a steady stream of discovery programmes to AstraZeneca. The deal lifted Jubilant’s shares by over 13.3 per cent to Rs 133 in the Mumbai market.
AstraZeneca will own the compounds developed under the collaboration with worldwide development and commercialisation rights, while funding Jubilant’s research for the initial five-year period. AstraZeneca will also pay Jubilant success-based development milestones, as well as royalties based on successful global commercialisation of any of the compounds. The deal will have a revenue implication between $165 million and $275 million provided the programmes are 100 per cent successful.
“We are very pleased to partner with AstraZeneca,” said Shyam S Bhartia, chairman and managing director, Jubilant Organosys Ltd. “This collaboration will leverage the innovative capabilities of AstraZeneca and Jubilant Biosys in providing a robust global drug discovery model.”