Amgen’s (NASDAQ: AMGN) dominance in the bone treatment market with its blockbuster drugs Xgeva and Prolia (denosumab) may face a new challenge as Alvotech (NASDAQ: ALVO), an Iceland-based biopharmaceutical company, has licensed its biosimilar candidate AVT03 to India’s Dr. Reddy’s Laboratories (NYSE: RDY) for the European and US markets. This strategic partnership could intensify competition for Amgen’s products in these regions.
Under the terms of the agreement, Alvotech will be entitled to an undisclosed upfront payment, milestone payments, and royalties based on sales. In return, Dr. Reddy’s will take on the responsibility of registration and commercialization efforts for AVT03 in the licensed territories.
Amgen’s original products, Xgeva and Prolia, are indicated for treating osteoporosis in postmenopausal women and preventing skeletal-related events in patients with advanced cancer, respectively. The entry of a biosimilar alternative may offer more options and potentially impact the pricing dynamics in these markets.- Flcube.com
