Pharmsyntez obtains exclusive marketing and distribution rights in Russia and the countries encompassed by the Commonwealth of Independent States (CIS), and the agreement includes profit sharing on net sales in the region between the two companies.
Within the framework of this collaboration, Pharmasyntez will finance all marketing and sales activities, and Oasmia is responsible for product development and manufacturing. A Memorandum of Understanding regarding product development was signed in 2012.
The Russian market within the segment comprising Paclical exceeds 600 million USD and is growing steadily.
This agreement is a very important step in Oasmia’s business strategy. New and emerging markets are key areas and we have invested a lot of resources into the Russian market. Pharmasyntez has extensive knowledge of the Russian market and this company is the ideal partner for us. We are putting great faith in the fact that this collaboration will be very beneficial for both parties, said Julian Aleksov, CEO of Oasmia.
The Pharmasyntez oncology therapeutic segment is a strategically important segment. We are one of few Russian Pharmaceutical companies who are committed in research and development of new chemical entities and innovative and novel drugs. So, this agreement with Oasmia suits our philosophy, commitment and product portfolio. We expect to have a very successful business for Paclical in Russian Federation, said Vikram S. Punia, President OAO of Pharmasyntez.
Oasmia has initiated the process for market authorization in Russia for Paclical.