Syngene stock zooms over 4% on signing 10-year biologics manufacturing agreement with Zoetis

15 Jul 2022 , 02:04 PM

Syngene International Limited has announced the signing of a 10- year agreement with leading animal health company, Zoetis, to manufacture the drug substance for Librela (bedinvetmab), a first in class monoclonal antibody used for treating osteoarthritis in dogs.

Launched in Europe, the UK and Switzerland, the product won ‘Best new companion animal product’ by IHS Markit Connect in 2021 for its transformational impact on pain relief for canines suffering from this debilitating condition.

Syngene’s collaboration with Zoetis started in 2011. Over the past 11 years, Syngene has undertaken development work on several monoclonal antibodies for use in animal health, including developing and manufacturing clinical supplies of a treatment for allergic or atopic dermatitis, now widely used, and Librela.

This agreement, initially centred on Librela, paves the way for development and manufacturing of other molecules in the coming years and is expected to be worth up to US$ 500 Mn to Syngene over 10 years, subject to regulatory approvals and market demand.

Managing Director and Chief Executive Officer, Syngene International Limited, Jonathan Hunt said, “We are delighted to be expanding our partnership with Zoetis. This multi-year agreement marks an inflection point for our Development and Manufacturing Services Division and we look forward to completing the regulatory inspections that will be required. This 10-year agreement will position Syngene as a leading Contract Development and Manufacturing Organisation (CDMO) in animal health globally.”

Nick Ashton, Executive Vice President and President, Global Manufacturing and Supply, Zoetis Inc., said “At Zoetis, we are committed to delivering high quality innovative solutions to our customers through our global supply network. By advancing the next stage of Librela with Syngene, we continue to build a strong global supply network for Zoetis products and fulfill our purpose to nurture the world and humankind by advancing care for animals.”

At around 2:04 PM, Syngene International was trading at Rs612.75 per share up by Rs25.7 or 4.38% on the BSE.