Teva Pharmaceutical Industries and Lonza will establish a joint venture to develop, manufacture and market a portfolio of biosimilars. The joint venture is expected to begin activities during 1Q09, subject any applicable regulatory approvals. Financial details of this agreement were not disclosed.

"We had identified biosimilars as a major growth driver for Teva in our long-term strategy and have been augmenting our knowledge base, capabilities and infrastructure to position Teva as a leader in this market," said Shlomo Yanai, Teva's president and chief executive officer. “This strategic partnership bolsters our biologics capabilities. Lonza is an ideal partner for Teva in this field with its deep knowledge and experience in Biopharmaceutical development, large-scale manufacturing and state-of-the-art manufacturing facilities. Combined with Teva’s global leadership and expertise in clinical development and marketing of generic pharmaceuticals, the joint venture generates significant opportunities and benefits for both companies.”

“We are excited to enter into this joint venture. The field of biosimilars is a natural extension of Lonza’s existing life-sciences portfolio, and represents the next strategic step for the company. With Teva we have found the right strategic partner to develop this new activity, which will deliver new opportunities for both companies," commented Stefan Borgas, Lonza’s chief executive officer. “We are confident that our capabilities in the area of biologics manufacturing will add value to this joint venture; while at the same time, the agreement ensures that we will be able to continue to fully support the development of new technology and business of our existing innovator customers.”

Teva and Lonza retain the ability to explore additional opportunities in the area of biosimilars beyond this partnership.