UPDATE 1-Mylan, India's Biocon sign pact for biologic drugs

* Mylan's entry into generic biotech

* Mylan down 1.2 pct; Biocon up 1.2 pct

(Recasts, adds details, analyst comment, shares)

NEW YORK, June 29 (Reuters) - Drugmaker Mylan Inc (MYL.O) will partner with India's Biocon Ltd (BION.BO) as it seeks to break into the emerging market of generic biotechnology medicines, the companies said on Monday.

The collaboration involves the development, manufacturing, supply and commercialization of "multiple" generic biotech medicines for the global marketplace.

The companies did not disclose specific medicines they will target, financial terms, or development timelines, but they will work on versions of products that have more than $1 billion of annual sales each, a Mylan spokesman said.

Generic drug companies are eyeing biotechnology medicines made from live cells as the next wave of growth even as the regulatory approval process for such drugs remains uncertain, particularly in the United States.

Rivals Teva Pharmaceutical Industries (TEVA.TA) and the Sandoz unit of Novartis AG (NOVN.VX) are seen as among the bigger players in the biogenerics market.

Mylan Chief Executive Robert Coury called the Biocon deal "one of the more comprehensive and high-quality biologics initiatives reported within the industry to date."

As part of the agreement, both companies will share development, capital and other costs to bring the products to market.

Mylan will have exclusive commercialization rights in developed markets such as the United States, Japan and Europe and share them elsewhere.

Sanford Bernstein analyst Ronny Gal said Biocon's processes are geared toward the regulatory requirements of developed markets.

"Our first impression is that this is likely a step in the right direction for Mylan, which is finally making the committing step into the field and picked a credible partner to do it with," Gal said in a research note.

Mylan shares were down 16 cents, or 1.2 percent, at $13.26 on the Nasdaq. Biocon shares rose 1.2 percent. (Reporting by Lewis Krauskopf and Janaki Krishnan in Mumbai; Editing by Muralikumar Anantharaman and Steve Orlofsky)