BIIB Biogen Inc

By Colin Kellaher

Biogen Inc. (BIIB) on Wednesday said it will gain exclusive rights to new ophthalmology biosimilars of a pair of blockbuster eye drugs as part of a proposed deal with its Samsung Bioepis Co. joint venture.

The Cambridge, Mass., biopharmaceutical company said it will gain the rights to commercialize biosimilars referencing Roche Holdings AG's (ROG.EB) Lucentis and Regeneron Pharmaceuticals Inc.'s (REGN) Eylea, in several major markets, including the U.S., Canada, Europe, Japan and Australia.

Biosimilars are near-copies of biologic drugs that are made from living cells and are analogous to generic copies of traditional pill-form medicines.

Biogen said it will make a $100 million upfront payment to Samsung Bioepis, its joint venture between with Korea's Samsung BioLogics Co. (207940.SE), and said it could make up to $210 million in additional milestone payments.

Samsung Bioepis will be responsible for development and will supply both products to Biogen at a pre-specified gross margin, the company said.

As part of the proposed transaction, Biogen said it will also acquire exclusive commercialization rights for its anti-TNF portfolio, including Benepali, Flixabi and Imraldi, in China. Biogen will also acquire an option to extend its existing commercial agreement with Samsung Bioepis for the portfolio in Europe.

Biogen said it expects to complete the deal by the end of the year, adding that it will record a roughly $65 million charge to research-and-development expense at closing related to the upfront payment.

Write to Colin Kellaher at colin.kellaher@wsj.com

(END) Dow Jones Newswires

November 06, 2019 08:58 ET (13:58 GMT)

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