Cipla InvaGen signed an exclusive deal with Qilu Pharmaceutical to license QL2107, a Keytruda biosimilar, in the US.

For those wondering what a biosimilar actually is, it’s essentially a close copy of an already approved biologic medicine, offered at a more affordable price once the original drug’s patent protection allows for competition.

Keytruda, the original drug this biosimilar is based on, is manufactured by Merck and is widely used in cancer treatment. Under this new partnership, the two companies have split the work between them.

Qilu Pharmaceutical will take care of developing the product, getting it through regulatory approval, and handling the supply chain.

Cipla, through its US arm Cipla USA Inc, will focus entirely on commercialisation, meaning it will use its existing sales and distribution network in the country to bring the product to patients once it clears regulatory hurdles.

This setup works well for Cipla because it avoids the heavy upfront costs that usually come with drug development and clinical trials.

Instead, the company gets to rely on its already established presence in the US market, something it has built over the years across various therapy segments.

Speaking about the deal, Cipla’s Managing Director and Global CEO, Achin Gupta, said the partnership shows the company’s confidence in the long term potential of biosimilars, adding that it fits into Cipla’s broader plan to grow a strong oncology focused portfolio.

Marc Falkin, who heads Cipla North America, said the company feels well positioned to launch QL2107 once it receives the necessary regulatory clearance.

From Qilu’s side, General Manager Hanchang Zhang said the company has a fairly deep pipeline of biosimilar products in the works, and this collaboration is aimed at bringing an affordable version of pembrolizumab, the active compound in Keytruda, to patients across the US.

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