Glenmark, Evestra enter pact for generic contraceptive product

Evestra will develop this product exclusively for Glenmark for US market, receive milestone payments

Drug firm Glenmark Pharmaceuticals has joined hands with Evestra Inc to develop and market a generic version of Merck & Co's contraceptive product.

"Glenmark Pharmaceuticals Inc USA and Evestra Inc have completed a strategic development, licence and commercialisation agreement to develop and market a generic version of Merck & Co's NuvaRing product -- etonogestrel and ethinyl estradiol vaginal ring...," Glenmark Pharmaceuticals said in a statement.

Development on the vaginal ring product is currently under way and the two companies expect to file an abbreviated new drug application (ANDA) in fiscal 2019, it added.

As per the agreement, Evestra will develop this product exclusively for Glenmark for the US market and will receive certain milestone payments during various stages of its development, including royalties on net sales, Glenmark said.

"The partnership with Evestra... Expands our portfolio into a leading non-daily contraceptive option prescribed for millions of women in the US," Glenmark Pharmaceuticals North America and Global API President Robert Matsuk said.

Glenmark has secured exclusive marketing and distribution rights for the product, including an option to commercialise two additional Evestra vaginal ring products, for the US market.

Evestra Inc President and CEO Ze'ev Shaked said: "This is an important US-based strategic partnership for Evestra."

By aligning "our efforts, we expect to make great strides in improving women's healthcare and access to options that are significantly more accessible due to their lower costs", he added.

Merck's IMS Health NuvaRing registered sales of USD 768 million in 2016 in the US market, Glenmark said.

NuvaRing is an estrogen and progestin combination hormonal contraceptive indicated for use by women to prevent pregnancy, it added.

The stock of Glenmark Pharmaceuticals was today trading at Rs 920.25 in the afternoon on BSE, down 0.99 per cent from its previous close.