Recipharm has signed and closed an agreement with SERB SA on a divestment of its rights to its potassium iodide product ThyroSafe except for the US territory. The total consideration amounts to EUR 9.5 million (SEK 97 million) with EUR 5.9 million paid upon closing and EUR 3.6 million later, conditional upon reaching certain product development milestones. SERB will according to the agreement have an option to acquire the US rights at a later stage.
SERB has in parallel entered into a long term manufacturing agreement with Recipharm for the supply of the product. Recipharm will continue to use its expertise in manufacturing to serve the market with a very important product whereas SERB, who specializes in the area of emergency care, can further develop the market for ThyroSafe to reach its potential as a world class product for prevention of consequences of radiation exposure.
Carl-Johan Spak, Executive Vice President at Recipharm comments We are very pleased to have reached this agreement with SERB as we believe they are far better placed to maximize the potential of ThyroSafe[R]by including it within their portfolio of emergency products. Many countries stockpile potassium iodide products to have as a preventive measure in case of sudden radiation exposure, but there are still many countries that have not taken sufficient action in this area. I am confident that SERB will be able to grow the volumes of the product. We are also delighted that we will continue to provide our expertise in the manufacture of ThyroSafe in the long term.
Jeremie Urbain, Chairman at SERB says With our excellent knowledge in the market for emergency medicine we are ideally placed to grow and develop ThyroSafe. We are very pleased that Recipharm will continue to supply to us in the long term and look forward to further developing...