Dong-A PharmTech Signs Licensing Deal With Otechestvennye to Market Zydena in Russia
SEOUL, South Korea, Oct. 15 /PRNewswire/ -- Dong-A PharmTech Co. Ltd announced today the signing of a five-year US$50 Million contract with Otechestvennye Lekarstva OJSC, to market in Russia Dong-A's erectile dysfunction drug which is currently sold in Korea under the brand name of Zydena.
Under the terms of the agreement, Otechestvennye Lekarstva OJSC, one of the largest Russian pharmaceutical firms, will pay both upfront fees and running royalty on sales for the life of the contract. This deal represents the second significant licensing deal for Dong-A, surpassing the contract signed last October with SCP Corp. (Saudi Arabia) for marketing in Gulf Cooperation Council territories
On the strength of Zydena's excellent efficacy and safety profile, Otechestvennye Lekarstva OJSC will make a significant investment in marketing and promoting to Russian physicians. Zydena is distinguished by its long duration of action and low incidence of unfavorable side effects such as vision disturbances and muscle pain. Zydena expects to achieve a market in excess of 20% in Korea in 2007, its second year of sale.
Mr. Dong Hyun Park, president of Dong-A PharmTech stated that "We are extremely pleased to have Otechestvennye as our partner in Russia. The deal with Otechestvennye Lekarstva OJSC positions Zydena for solid sales in the rapidly evolving pharmaceutical market in Eastern Europe and furthers our strategy for marketing Zydena in numerous key countries in Asia, and Latin & South American in advance of our entry into North America and the European Union."
Zydena has a strong intellectual property position with more patents in more than 30 countries. Dong-A PharmTech successfully completed its phase 2 clinical programs in the USA for erectile dysfunction and will proceed to completing all clinical studies required for filing a New Drug Application in the USA and Europe.
Dong-A PharmTech expects to increase global marketability of Zydena by developing the product for use in new indications such as pulmonary arterial hypertension and benign prostatic hyperplasia, given its favorable half-life and once-a-day duration.
Otechestvennye Lekarstva OJSC
Otechestvennye Lekarstva OJSC is one of the largest Russian pharmaceutical companies with recent turnover of US$150 million. The company has 5,000 employees and markets over 200 products in Russia and in 20 other countries.
Otechestvennye Lekarstva OJSC was selected as the best pharmaceutical company in Russia in 2005 and 2006 by the Russian government.
About Dong-A PharmTech Co., Ltd.
Dong-A PharmTech is a late-stage pharmaceutical company incorporated in Korea, focused on the development and commercialization of udenafil and a number of other drug candidates worldwide outside Korea.
Statements under the Private Securities Litigation Reform Act: with the exception of the historical information contained in this release, the matters described herein contain forward-looking statements that involve risk and uncertainties that may individually or mutually impact the matters herein described, including but not limited to FDA review and approval, product development and acceptance, manufacturing, competition, and/or other factors, which are outside the control of the Company.
ocw@donga.co.kr
CONTACT: Mr. Chan Won OH, General Manager, International Product
Development Team of Dong-A PharmTech, +82 2 920 8220, fax, +82 2 925 4026,
ocw@donga.co.kr