As part of the new deal, Teva will acquire subordinated convertible bonds to be issued by Alvotech.
The partners are continuing to work closely on matters concerning pending approval in the U.S. for AVT02, an interchangeable high-concentration biosimilar candidate for Humira (adalimumab).
The collaboration also includes four other biosimilar candidates, including AVT04, a proposed biosimilar for Stelara (ustekinumab), which is currently pending U.S. Food and Drug Administration (FDA) approval.
The expansion to the existing strategic partnership agreement pertains to exclusive commercialization in the U.S. by Teva of two new biosimilar candidates and line extensions of two current biosimilar candidates in the partnership, to be developed and manufactured by Alvotech.
The agreement includes milestone payments, the majority paid following product approvals and upon achieving significant sales milestones.
Teva and Alvotech will share profit from the commercialization of the biosimilars. All other financial terms and product details remain confidential.
The agreement also includes increased involvement by Teva regarding manufacturing and quality at Alvotech’s manufacturing facility. Teva is ‘actively supporting’ Alvotech on-site in Iceland to be fully ready for an FDA inspection.
Robert Wessman, CEO and chairman of Alvotech, said: “We welcome Teva’s continued partnership and this expansion of our partnership agreement. We remain focused on preparing for a successful pre-approval inspection and resolving any outstanding issues identified by the FDA to be able to bring our biosimilar candidates to patients in the U.S. with Teva as soon as possible.”
Sven Dethlefs, executive vice president, North America Commercial, added: “Teva remains fully committed to its leadership in biosimilars and the partnership with Alvotech. We remain optimistic about additional compounds in the pipeline and continued progress with AVT02 and ATV04.”
