UPDATE 3-Teva and Lonza link to tap biosimilar drugs market
* Teva, Lonza form alliance to make generic biotech drugs
* Move underlines growing interest in field by major firms
* Joint venture to start up in first quarter 2009
(Adds analyst saying Enbrel, Rituxan could be targets)
LONDON, Jan 20 (Reuters) - Israel's Teva Pharmaceutical Industries (TEVA.TA), the world's biggest maker of generic drugs, is joining forces with Swiss-based Lonza (LONN.VX) to exploit the emerging market for so-called biosimilar medicines.
The two companies said on Tuesday they had formed a strategic partnership to become a leading global provider of biosimilars, or generic versions of biotechnology drugs.
Their joint venture -- to develop, manufacture and market a portfolio of products -- is expected to commence activities in the first quarter of 2009.
Financial details of the agreement were not disclosed.
Shlomo Yanai, Teva's chief executive, said biosimilars were a major growth driver for Teva, and Lonza was "an ideal partner" given its experience in manufacturing antibodies and other complex biotech drugs for pharmaceutical companies.
Bernstein analyst Ronny Gal agreed, arguing the combination of Lonza's large manufacturing base and Teva's drug development capability meant the joint venture had a complete platform.
Teva and Lonza did not specify which products they intended to copy but Gal said he suspected they were primarily targeting Amgen (AMGN.O) and Wyeth's WYE.N rheumatoid arthritis drug Enbrel and the cancer drug Rituxan, or MabThera, from Genentech DNA.N, Biogen Idec (BIIB.O) and Roche (ROG.VX).
Biosimilars are viewed as a promising new market, given the pent-up demand for cheaper versions of extremely expensive biotech drugs, some of which are coming to the end of their patent life.
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In Europe, the first such biosimilars have already been approved and on the market. Continued...
