MISSISSAUGA, ON, Jan. 9, 2018 /CNW/ - Cipher Pharmaceuticals Inc. (TSX:CPH) today announced it has entered into an exclusive distribution and supply agreement with Italmex Pharma S.A. ("Italmex") under which Cipher has granted Italmex exclusive rights to market, sell and distribute Cipher's Isotretinoin product in Mexico.
"Our isotretinoin product has been a highly successful franchise for Cipher in the U.S. and Canada, and we look forward to bringing it to Mexico through our partnership with Italmex, which is a well-established specialty pharma company with a strong presence and track record in dermatology," said Robert Tessarolo, President and CEO of Cipher. "This agreement is consistent with our strategy to monetize our existing licensing portfolio in other regions."
Jose Ramon Sanchez Medal, Chief Executive Officer of Italmex Pharma, stated: "We are very pleased to enter into this agreement with Cipher, a company with a strong commitment to innovation in dermatology. This collaboration is fully aligned with our strategy to strengthen our pipeline in dermatology and expand our dermatology leadership position in Mexico through the addition of innovative products. I am proud that our company can bring this medicine to severe acne patients in Mexico to help improve their lives."
Cipher's isotretinoin product is a novel formulation of isotretinoin, which is used in the treatment of severe recalcitrant nodular acne. Isotretinoin is the most effective severe acne therapy available to patients who suffer from acne. The product is marketed in the United States as Absorica® and in Canada as Epuris®.
The Mexican isotretinoin market is a steadily growing market and is expected to show continued growth in the coming years. The value of the Mexican isotretinoin market was approximately US$20 million in 2017 and has grown at a compounded rate of 16% in the past five years1.
Under the terms of the agreement with Italmex, Cipher will receive an upfront payment and is eligible for additional regulatory and commercial milestone payments. Cipher will supply the product to Italmex and product manufacturing will be done by Cipher's partner, Galephar Pharmaceutical Research. Italmex will be responsible for all regulatory activities associated with gaining and maintaining regulatory approval of the product in Mexico.
About Italmex Pharma
Italmex Pharma is a leading privately-owned pharmaceutical company based in Mexico City focused on the development, manufacturing, marketing and commercialization of high-quality pharmaceutical products, primarily in the areas of dermatology, gastrointestinal, gynecology and Pediatrics. Through new product development, growth of established brands, strategic acquisitions and in-licensing, Italmex Pharma has established as a leader company in the prescription dermatology segment in Mexico. The Company generated approximately $50 million of revenue in 2017 with a CAGR of 13% in the last five years. Italmex Pharma belongs to Mega Pharma, Latin America's 4th largest pharmaceutical company with presence and leadership in 20 countries. Additional information about Italmex Pharma is available through its corporate website, www.italmex.mx.
About Cipher Pharmaceuticals Inc.
Cipher (TSX:CPH) is a specialty pharmaceutical company with a robust and diversified portfolio of commercial and early to late-stage products. Cipher acquires products that fulfill unmet medical needs, manages the required clinical development and regulatory approval process, and markets those products either directly in Canada or indirectly through partners in Canada, the U.S., and South America. For more information, visit www.cipherpharma.com.
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We caution that the foregoing list of important factors that may affect future results is not exhaustive. When reviewing our forward-looking statements, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. Additional information about factors that may cause actual results to differ materially from expectations, and about material factors or assumptions applied in making forward-looking statements, may be found in the "Risk Factors" section of our Annual Information Form and in our Management's Discussion and Analysis of Operating Results and Financial Position for the year ended December 31, 2016, and elsewhere in our filings with Canadian securities regulators. Except as required by Canadian securities law, we do not undertake to update any forward-looking statements, whether written or oral, that may be made from time to time by us or on our behalf; such statements speak only as of the date made. The forward-looking statements included herein are expressly qualified in their entirety by this cautionary language.
SOURCE Cipher Pharmaceuticals Inc.