GlaxoSmithKline sells two vaccines for up to £822m
pharmafile | October 21, 2019 | News story | Sales and Marketing |
GlaxoSmithKline has announced it will divest two of its major vaccines to Denmark-based Bavarian Nordic in a deal that will see the company receive an upfront payment of approximately £259 million and milestone payments for a total of £822m.
The divestment will include travel vaccines Rabipur (Rabavert in the US) for the prevention of rabies as well as Encepur for the prevention of tick-borne encephalitis, both going to Bavarian Nordic.
Roger Connor, president of Global Vaccines at GSK, said: “This agreement with Bavarian Nordic will enable us to commit greater resources to our key growth assets and to our R&D pipeline, while also ensuring the continued supply of these important and successful vaccines.”
Paul Chaplin, President and Chief Executive Officer at Bavarian Nordic, added: “This truly transformative acquisition pulls forward our vision to be a profitable independent vaccine company. Our proven world-leading manufacturing expertise in egg-based vaccines certainly creates a perfect fit for Rabipur/RabAvert and Encepur, with significant future synergies. The addition of these two established and proven commercial products, together with Jynneos has created a leading infectious disease franchise that will drive sustained profits and growth in the years ahead, supporting future product launches or product acquisitions.”
To ensure continuity, both vaccines will continue to be manufactured primarily at GSK’s Marburg site in Germany until full production is transferred to Bavarian Nordic. The technology transfer is expected to start in the first quarter of 2020 with completion anticipated within 5 years.
Additionally, no employees or manufacturing facilities are being transferred as part of this transaction. It is expected to close by the end of 2019 and is conditional upon anti-trust approval as well as approval of Bavarian Nordic’s rights issues from its shareholders.
Rabipur is a long-established life-saving vaccine with over 30 years of market experience supported by clinical and safety evidence as well as WHO pre-qualification. It is indicated for those bitten by suspect animals and non-immune subjects at risk of rabies.
Encepur is indicated for active immunization of high-risk populations against tick-borne encephalitis (TBE) and has a unique dosing flexibility supported by long-term persistence data.
Nik Kiran
