Swedish Orphan Biovitrum and Dongbao Group announce a distribution agreement for Iron Sucrose Rechon in Europe
Stockholm, Sweden and Shanghai, China - November 3, 2010 - Swedish Orphan
Biovitrum (STO: SOBI) and Dongbao Group today announced that Dongbao, through
its subsidiary Rechon Life Science Group (Rechon), has granted Swedish Orphan
Biovitrum (Sobi) the distribution rights to Iron Sucrose Rechon in geographical
Under the agreement, Sobi will pay to Rechon a regulatory approval milestone of
1,2 million Euro. In addition, Sobi will pay a transfer price and a royalty on
net sales to Rechon Life Science Ltd.
Iron Sucrose Rechon is an intravenous formulation of iron, used for anemia
treatment. It is in registrational phase with Sweden as rapporteur country.
Approval is expected by year end or early 2011, and a mutual recognition process
in Europe would be initiated immediately after an approval.
This agreement is the first manifestation of the strategic Commercial Alliance
that the parties announced in July, 2010. In the alliance, Sobi will be the
marketing and sales partner of choice for Dongbao's pipeline of products in
Europe, and Dongbao will be the marketing and sales partner for selected Sobi's
products in China.
Dr. Zhaoqi Li, Vice President of Dongbao Enterprise Group Co., Ltd. and the
Chairman of Rechon Life Science Group expressed that "We are proud to have
chosen Sobi as partner to promote and distribute Rechon's product Iron Sucrose
Rechon to the European market. We are also anxious to start the regulatory
process for some of Sobi's interesting and valuable products in China. With
establishment of mutual relationship between Sobi and Dongbao, we are confident
that our business goals will be achieved."
"Iron Sucrose Rechon is a good fit with Sobi's portfolio of hematology products.
This is a first step towards a very exciting partnership, in which we will be
able to provide Dongbao's commercial portfolio and pipeline to patients with
medical needs in Europe. We are proud and excited to work with Dongbao to
provide our innovative and valuable proprietary products to patients who need
them in China," said Martin Nicklasson, CEO of Sobi.
About Iron Sucrose Rechon
Iron Sucrose Rechon is a form of iron sucrose. Iron Sucrose is an intravenous
formulation of iron, used for the treatment of Iron Deficiency. The European
market for intravenous iron is large and growing. It is currently estimated at
over 100 million Euro in annual sales.
Dongbao is a conglomerate industrial group with more than 20 subsidiaries
operating in China and several other countries. As one of the leading supplier
of biopharmaceutical products in China, Dongbao is now working closely with
partners to supply first class pharmaceutical products worldwide. With well
established marketing network in China, Dongbao is also offering services to
introduce and promote foreign pharmaceutical products to the Chinese market. No
matter going out or coming into China, Dongbao is offering mutual beneficial
solutions to business partners. The establishment of partnership between Sobi
and Dongbao is a good example of such mutual beneficial partnership. Thus,
international cooperation is playing very crucial rules in Dongbao's
For more information please contact:
Dr. Zhaoqi Li
Vice President of Dongbao Enterprise Group Co., Ltd. &
Chairman of the Board of Rechon Life Science Group
+86 21 63910001
About Rechon Life Science Group
Rechon Life Science Ltd. is a pharmaceutical company developing and producing
high value pharmaceutical products with manufacturing operation in Sweden. The
company can offer customers the entire process of contract manufacturing of
aseptic vials, ampoules and syringes as well as oral and nasal sprays from small
scale batches for clinical trials up to full-scale commercial production and
supply to markets worldwide including the US, Japan and Europe. Rechon Life
Science AB is now providing various services to several US and European
pharmaceutical, biotech and life science companies. Please
visitwww.rechon.com for more information.
For more information please contact:
Roland Holmqvist, Acting CEO
Rechon Life Science AB
Phone: +46 709 48 24 24
About Swedish Orphan Biovitrum
Swedish Orphan Biovitrum is a Swedish based niche specialty pharmaceutical
company with an international market presence. The company is focused on
providing and developing specialist pharmaceuticals for rare disease patients
with high medical needs. The portfolio consists of about 60 marketed products
and an emerging late stage clinical development pipe-line. Our focus areas are:
hemophilia, inflammation/autoimmune diseases, fat malabsorption, cancer and
inherited metabolic disorders. Swedish Orphan Biovitrum had pro-forma revenues
2009e of about 2 BSEK and approximately 500 employees. The head office is
located in Sweden and the share (STO: SOBI) is listed on NASDAQ OMX Stockholm.
For more information please visitwww.sobi.com.
For more information please contact: Swedish Orphan Biovitrum AB (publ):
Erik Kinnman, VP Investor Relations
Phone:+46 73 422 15 40
Martin Nicklasson, CEO
Phone: +46 8 697 20 00
Swedish Orphan Biovitrum may be required to disclose the information provided
herein pursuant to the Swedish Securities Markets Act. The information was
provided for public release on November 3, 2010 at 8:30 a.m. CET.