The newly established subsidiary, known as Aspen Japan K.K, will see Aspen hold a 75 per cent share while GSK will hold a 25 per cent share.
“It is intended that Aspen Japan will, where feasible, be the conduit through which the group will conduct its commercial operations in Japan in a strategic alliance with GSK,” [DATA APN:Aspen] said.
According to the generic pharmaceuticals supplier, Aspen Global International (AGI) will grant perpetual distribution rights to Aspen Japan for all products currently being marketed on behalf of Aspen while GSK will transfer grant distribution rights to Aspen Japan for certain mature products in GSK’s portfolio.
GSK will also provide Aspen Japan with a pipeline of authorised generics for a number of GSK’s products and AGI will be responsible for the management of Aspen Japan, and for the commercialisation of all the products in Aspen Japan’s portfolio.
GSK revealed that there would be a total initial cash investment of approximately 14 million pounds, of which GSK would contribute 3.5 million pounds, reflecting its 25 per cent holding in the new company.
Philippe Fauchet, president of GSK Japan said, “This agreement demonstrates our ability to be flexible in order to optimise our product portfolio. We have a long-standing global relationship with Aspen and are confident that they are best-placed to partner us under this initiative.”
“Importantly, the inclusion of authorised generics within the scope of the agreement also supports the Japanese government’s objective of increasing accessibility and affordability of medicines,” he added.
The global healthcare company further stated that it would also be receiving a pro-rata share of profits and is expected to be represented on the board of Aspen Japan KK.
According to GSK, it is anticipated that the transaction should be completed by the end of 2015, subject to local regulatory and other approvals.
“Completion of this agreement will be subject to a number of conditions precedent, one of which is Aspen Japan obtaining accreditation as a Marketing Authorisation Holder from the relevant Japanese regulatory authority,” said Aspen.
“It is expected that, through this agreement with GSK, Aspen will be able to harness more opportunities and grow its presence in one of the world’s biggest pharmaceutical markets.”
AGI is a wholly owned subsidiary of Aspen Holdings Incorporated. Aspen is represented in several countries including South Africa, Australia, Hong Kong, Kenya, Nigeria, Tanzania, Germany, Mauritius, Brazil and the United States of America.