Cipla Enters into a Licensing Agreement with Gilead to Expand Access to COVID-19 Treatment

By Consultants Review Team Friday, 15 May 2020

Cipla Limited (BSE: 500087) (NSE: CIPLA EQ) (and hereafter referred to as 'Cipla') recently announced that it has signed a non-exclusive licensing agreement with Gilead Sciences, Inc. for the manufacturing and distribution of the investigational medicine Remdesivir, which has been issued an Emergency Use Authorization (EUA) by the U.S. Food and Drug Administration (FDA) to treat COVID-19 patients. This agreement is part of Cipla's efforts to enhance global access to life-saving treatments for patients affected by the pandemic.

As part of the agreement, Cipla will be permitted to manufacture the API and Finished product, and market it in 127 countries including India and South Africa under Cipla's own brand name. Cipla will receive the manufacturing know-how from Gilead Sciences, Inc. to manufacture the API and Finished product at a commercial scale. Cipla's extensive geographical and commercial footprint will help make this therapy accessible to more patients and markets. 

According to the World Health Organisation (WHO)'s tracker, the number of reported COVID-19 cases has crossed the four million mark globally.

The EUA will facilitate broader use of Remdesivir to treat hospitalized patients with severe symptoms of COVID-19. The EUA is based on available data from two global clinical trials – US National Institute for Allergy and Infectious Diseases' placebo-controlled Phase 3 study in patients with moderate to severe symptoms of COVID-19, and Gilead's global Phase 3 study evaluating Remdesivir in patients with severe disease. Multiple additional clinical trials are ongoing to generate more data on the safety and efficacy of Remdesivir as a potential treatment for COVID-19. Remdesivir continues to be an investigational drug that has not been approved by the FDA.

Commenting on the partnership, Mr. Umang Vohra (MD and Global CEO, Cipla Limited) said, "As the world is faced with the COVID-19 crisis, it is imperative that we collaborate and fight this virus together. We are pleased to partner with Gilead for this cause and take this treatment to patients across countries after the required regulatory approvals. At Cipla, it is our continuous endeavour to ensure that no patient is denied access to life-saving treatments. Our partnership with Gilead represents this unwavering commitment and is a significant step towards saving millions of lives impacted by the pandemic."

Source: PR Newswire

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