• Cassiopea S.p.A will be the exclusive supplier, as per the new agreement.
• Sun Pharma’s share price grew by 1.06% to 9.43 USD following the announcement.

Sun Pharmaceutical Industries Limited announced to have signed an agreement with Cassiopea S.p.A to commercialize Winlevi (clascoterone cream 1%) in Canada and the United States. Sun Pharma’s share price grew by 1.06% to 9.43 USD following its recent announcement.

As per the agreement, Sun Pharma will own the exclusive rights to commercialize Winlevi in Canada and the United States while Cassiopea will be the exclusive supplier. Moreover, the Italy-based pharmaceutical company will receive an upfront payment of USD 45 million in addition to commercial milestones worth USD 190 million.

The United States Food and Drug Administration had approved Winlevi (clascoterone cream 1%) for topical treatment of acne vulgaris among patients who are 12 years of age and older. The last time the FDA approved an acne drug with an advanced mechanism was approximately 40 years ago.

Notably, acne is the most common skin condition in the U.S. and affects up to 50 million Americans each year. Winlevi should be available in the United States by October 2021.

CEO of North America Sun Pharma, Abhay Gandhi was quoted saying that the company is pleased to collaborate with Cassiopea. He further added that the addition of Winlevi in the company’s product portfolio will strengthen its presence in the acne treatment vertical. 

Meanwhile, Cassiopea CEO Diana Harbort mentioned that the new agreement will help the company to leverage Sun Pharma’s strong presence in U.S. dermatology. The transaction will also allow Cassiopea to generate substantial returns, which will further benefit the development of pipeline drugs.

Sun Pharmaceutical Industries Limited is India’s top pharmaceutical company and the world’s fourth-largest generic pharma company.

Source Credits—

https://www.business-standard.com/article/news-cm/sun-pharma-gains-on-deal-for-acne-cream-with-cassiopea-121072600552_1.html