GSK and Shenzhen Neptunus to develop flu vaccines in China
GlaxoSmithKline has formed a joint venture with Shenzhen Neptunus Interlong Bio-Technique (Shenzhen Neptunus) focused on developing influenza vaccines for the Chinese market.
GlaxoSmithKline has formed a joint venture with Shenzhen Neptunus Interlong Bio-Technique (Shenzhen Neptunus) focused on developing influenza vaccines for the Chinese market.
The alliance will develop and manufacture flu vaccines for China, Hong Kong and Macau. This will include vaccines for seasonal, pre-pandemic and pandemic influenza. They will become available over the next few years.
GSK will provide access to its proprietary adjuvant system, which helps to improve efficiency and optimise production by increasing the number of vaccine doses that can be produced using a smaller amount of antigen. Shenzhen Neptunus will provide additional local manufacturing capacity and r&d expertise. Both companies will provide further investment in manufacturing.
GSK will take a 40% stake in the joint venture for a contribution of cash and assets equivalent to £21m. Shenzhen Neptunus will take the remaining 60% stake for £31m.
Under the terms of the agreement, GSK is expected to purchase additional shares and obtain a majority equity interest within the next two years.
Completion of the transaction is expected in the fourth quarter of 2009, subject to local regulatory approval.
Jean Stephenne, president and general manager of GlaxoSmithKline Biologicals, said: "The new joint venture will combine the potential of GSK's adjuvant technology and expertise in vaccine development together with the extensive experience of Shenzhen Neptunus in the Chinese vaccines market. Together we will gain access to specific local influenza antigens and make available new vaccines to benefit public health in China and neighbouring territories."
The two companies signed an exclusive cooperation agreement in November 2008 as a preliminary step in forming this joint venture.
