Cipher Pharm. extends supply agreement with Sun Pharm. Industries Inc.
by CM Staff
The agreement between the two companies dictates that Sun Pharma will continue to have the exclusive right to market, sell and distribute products in the isotrentinoin portfolio
MISSISSAUGA — Cipher Pharmaceuticals Inc. has finalized a second amended distribution and supply agreement with Sun Pharmaceuticals Industries Inc., the subsidiary of Sun Pharmaceuticals Industries Limited based in India.
The agreement between the two companies dictates that Sun Pharma will continue to have the exclusive right to market, sell and distribute products in the isotrentinoin portfolio as well as Absorica and Absorica AG in the United States until end of year 2026 and Absorica LD until 2024.
In the meantime, Cipher will continue to earn a royalty on sales in the United States from Sun Pharma’s isotrentinoin products. Cipher will also continue to manufacture isotrentinoin under the terms of the agreement until the end of 2026.
“This is a significant milestone for Cipher. Sun Pharma has been an excellent partner on our isotretinoin portfolio and we are pleased to extend the term of our relationship for an additional four years, through the end of 2026,” said Craig Mull, interim CEO of Cipher in a statement.
“During the second quarter of 2021, the Company launched Absorica AG with Sun Pharma and implemented a plan to ensure we had products to serve each segment of the market, while retaining our overall market share. This Amendment is testament to the success of our strategy and provides Cipher with enhanced visibility into stable revenue and cashflow for years to come. This will help to further strengthen our balance sheet, which had over US$15.6 million in cash as at the end of September, 2021, for the next phase of our growth.”