Dr Reddy’s and Merck Serono to collaborate on biosimilars

Dr Reddy's Laboratories and Merck Serono have announced a new collaboration in the field of biosimilar therapy development.

Under the terms of the agreement, the two healthcare companies will co-develop a portfolio of biosimilar compounds in oncology, primarily focused on monoclonal antibodies.

It will cover the co-development, manufacturing and commercialisation of these compounds around the world with some specific country exceptions, with the aim being to expand both organisations' presence in this market.

Dr Reddy's will lead early product development up to the end of phase I testing, whereupon Merck Serono will take over manufacturing of the compounds and lead phase III development.

GV Prasad, vice-chairman and chief executive officer of Dr Reddy's Laboratories, said: "We strongly believe that biosimilars is an important area of future growth and these products give us the opportunity to provide affordable and innovative medicines to patients across the globe."

Last month, Dr Reddy's announced its financial results for its 2012 business year, during which it experienced year-on-year sales growth of 30 percent.