Biogen is expanding its biosimilars portfolio and gaining access to additional markets through a new transaction with South Korea’s Samsung Bioepis.
The deal will see Biogen secure the exclusive rights to commercialise to new ophthalmology biosimilars – SB11 referencing Lucentis and SB15 referencing Eylea – in major markets worldwide, including the US, Canada, Europe, Japan and Australia.
In addition, Biogen will acquire exclusive commercialisation rights for its anti-TNF portfolio, including Benepali (etanercept), Flixabi (infliximab) and Imraldi (adalimumab), in China.
Biogen will also acquire an option to extend its existing commercial agreement with Samsung Bioepis for this anti-TNF portfolio in Europe.
The company said it expects the update of Benepali, Flixabi and Imraldi to generate around €1.8 billion in healthcare cost savings in 2019.
Biogen will make a $100 million upfront payment to Samsung Bioepis and will pay up to $210 million in additional development-, regulatory and sales-based milestones.
Biogen will also obtain an option to extend the term of its current European commercial agreement for its three anti-TNF biosimilars by an additional five years, subject to payment of an option exercise fee of $60 million.
Upon closing, Biogen expects to record a charge to research and development expense of approximately $65 million related to the $100 million upfront payment.
The deal is expected to close this quarter.