Orchid signs pact with Actavis

Chennai-based Orchid Chemicals & Pharmaceuticals Ltd has announced that it has signed a licencing and distribution agreement with Actavis, an international generic pharmaceuticals company, for marketing nine cephalosporin generic formulations of Orchid in Europe.

Actavis will market these formulations in 37 European countries comprising the European Union (EU) and Central and Eastern European (CEE) countries.

Orchid will develop and manufacture nine cephalosporin formulations in specific dosage forms and strengths, which would be licensed and marketed by Actavis in Europe.

Orchid's dossiers will provide Actavis' marketing authorizations, which will be done on a non-exclusive basis to Actavis.

Actavis will source all its product requirements from Orchid alone. The production of the formulations will happen at Orchid's sterile and oral active pharmaceuticals ingredients (API) and dosage facilities, which have been approved by USFDA (Food and Drug Administration) and UK MHRA (Medicines and Healthcare products Regulatory Agency).

Under the agreement, Actavis will pay a certain dossier license fees to Orchid based on milestones and Actavis will share revenues earned by marketing the products of Orchid.