China-based Shandong Buchang Pharmaceuticals Co., Ltd (SHA: 603858) has announced the termination of the development, supply, and marketing agreement with compatriot firm NOVAST Laboratories. The decision comes in response to changes in the market environment and the company’s operational status.
Original Deal and Its Termination
The original agreement, which was established in 2017, will see both parties relinquish all rights and obligations except for confidentiality clauses. This termination affects the collaboration regarding nifedipine and four other products, which were part of the initial deal.
Financial and Intellectual Property Implications
As per the agreement’s termination, NOVAST will assume all research and development expenses incurred for metoprolol, metformin, glipizide, and tolterodine, in addition to the majority of those related to nifedipine. Furthermore, all intellectual property rights and technical secrets concerning these five products will now solely belong to NOVAST.-Fineline Info & Tech
