By Tess Stynes
Protalix BioTherapeutics Inc. (PLX) reached a supply and
technology transfer deal with an arm of the Brazilian Ministry of
Health for the company's Uplyso enzyme replacement therapy for the
treatment of Gaucher disease.
The Israel-based company's shares were up 8.1% at $5.49 in
recent premarket trading.
The Brazilian health arm, commonly known as Fiocruz, must
purchase at least $280 million of Uplyso before Protalix is
required to complete the final stage of a technology transfer. The
transfer is intended to enable the Brazilian government to
construct its own manufacturing facility, which it will fund on its
own, so it can produce its own supply of the drug--also known as
alfataliglicerase.
Under the accord agreement, which is expected to span seven
years, Fiocruz has committed to purchase at least $40 million of
the drug during the first two years of the pact. In later years,
Fiocruz is required to make purchases of $40 million a year.
The agreement requires the approval of Brazilian regulators,
which is expected in about a month.
In March, Brazilian regulators granted Protalix's
commercialization partner Pfizer Inc. (PFE) approval for Uplyso for
long-term enzyme replacement therapy in adults with a type of
Gaucher disease. Protalix will pay Pfizer up to $12.5 million a
year from profits generated in Brazil over the term of the pact in
return for Pfizer agreeing to amend its exclusive license and
supply agreement and return commercialization rights to the
Brazilian government.
Protalix plans to provide more details during its analyst event
set for Thursday at 8 a.m. EDT.
Write to Tess Stynes at Tess.Stynes@dowjones.com
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