GSK expands paediatric vaccines presence in China with Jiangsu Walvax joint venture
GlaxoSmithKline (GSK) and Jiangsu Walvax Biotech Company (Walvax) are to develop and manufacture paediatric vaccines for measles, mumps, and rubella (MMR) (Priorix) and other paediatric vaccines for use in China in a long-term joint venture. GSK will also transfer the technology to enable the vaccines to be produced locally over time.
GlaxoSmithKline (GSK) and Jiangsu Walvax Biotech Company (Walvax) are to develop and manufacture paediatric vaccines for measles, mumps, and rubella (MMR) (Priorix) and other paediatric vaccines for use in China in a long-term joint venture. GSK will also transfer the technology to enable the vaccines to be produced locally over time.
'In China, GSK is establishing local production capacity with a leading vaccine manufacturer and developer, in advance of the significant expansion in the Chinese public vaccine market," said Jean Stephenne, president of GSK Biologicals.
"Together with Walvax, we can support China's goals to accelerate vaccination and save children from preventable diseases.'
The joint venture will also build a new manufacturing facility for GSK's Priorix vaccine.
A total of £41.2m will be invested into the joint venture. GSK will initially invest £20.1m, followed by an additional £7.3m in 2015. Walvax will invest a total of £13.8m. Equity interest will be divided 65% and 35% between GSK and Walvax respectively.
'The joint venture will strengthen our vaccine r&d efforts and build our capacity to increase children's access to vaccines,' said Liu Hong-Yan, chairman of Walvax.
Walvax is an affiliate of Yunnan Walvax Biotech, China's second-largest manufacturer of Haemophilus influenzae type b (Hib) conjugate vaccine. The company has significant expertise in freeze-drying technologies, which make vaccine preservation and transportation easier. The company employs more than 400 people.
The joint venture follows GSK's agreement in June with Chinese biotech company Shenzhen Neptunus Interlong Bio-Technique to develop and manufacture flu vaccines.
GSK has received 22 further government orders for its swine flu vaccine, equivalent to a further 149 million doses of the drug. As governments around the world stockpile the vaccine ahead of an expected winter resurgence of the H1N1 pandemic, the total number of doses ordered from GSK has risen to 440 million.
The first supplies of the new batch of pandemic vaccines will be shipped this week.
