Pfizer, NovaMedica Partner for Manufacturing Plant and Products in RussiaBy
Pfizer and NovaMedica, a Russian pharmaceutical company, have formed a long-term strategic partnership to locally manufacture in Russia and bring to the Russian market a number of medicines. Pfizer plans to invest in NovaMedica's construction of a new manufacturing plant in the Kaluga region in Russia and license the technology for production of more than 30 medicinal products from its portfolio to the Russian partner.
The design, development and construction of the manufacturing plant are scheduled to begin in 2016, with the start of medicine production planned for 2020. The new plant is intended to be built in accordance with Russian and international standards, which will enable NovaMedica to manufacture for export markets. The production facilities will have potential for expansion, if new projects emerge.
The portfolio of medicinal products that the parties plan to produce at the new plant includes essential drugs for the treatment of severe bacterial and fungal infections, inflammatory diseases, cancer, as well as for use in anesthesiology.
The completion of the transaction is subject to customary closing conditions, including receipt of any required regulatory approvals, and final agreement by the parties on the terms and conditions of additional transaction documents.
NovaMedica is a Russian pharmaceutical company established in 2012 by the US venture capital firm, Domain Associates LLC, and RUSNANO, an investment fund that implements state policy for the development of Russia's high-technology industries. NovaMedica’s portfolio currently includes 25 products in ophthalmology and gastroenterology. NovaMedica’s strategy is focused on the search, registration and localization in Russia of innovative pharmaceutical products and technologies, as well as the development of the company's own research and development activities and the establishment of a GMP-compliant pharmaceutical production facility in Russia. NovaMedica is currently building a Technology Center in Moscow that will include R&D laboratories and production facilities for advanced technologies. Over the next five years, total investments in NovaMedica's projects from its shareholders and investors, including Pfizer, is estimated to be $200 million.