25 November 2022 - - Japan-based global specialty pharmaceutical company Kyowa Kirin Co., Ltd., (TSX: 4151) and German pharmaceutical company Grünenthal GmbH have signed a joint venture collaboration for Kyowa Kirin International's established medicines portfolio.

The joint venture collaboration comprises 13 brands across six therapeutic areas primarily focused on pain management, including Abstral and PecFent for breakthrough cancer pain, Moventig for opioid-induced constipation, and Adcal-D3 for osteoporosis.

The joint venture Collaboration is subject to obtaining customary approvals and clearances, including anti-trust and works councils as legally required. Completion of the deal is anticipated for 2Q23.

The total revenues of the portfolio in 2021 were approximately EUR 200m. The products are marketed through affiliates in seven major European countries and through a network of partners in various additional territories worldwide.

Grünenthal has agreed to pay approximately EUR 80 m upfront plus royalties over the term of the collaboration. Grünenthal will make an additional payment upon purchase of the remaining share and the intellectual property of the portfolio.

Subject to approval, Grünenthal will own a 51% majority share in the new company. Kyowa Kirin will own a 49% share and will initially retain the IP related to the portfolio.

Grünenthal intends to purchase the remaining 49 % share and the IP at the beginning of 2026.

The portfolio includes medicines that deliver life-changing value for hundreds of thousands of patients. The portfolio is available in seven major European markets through affiliates and in various additional territories worldwide through a network of partners.

Key products in the portfolio include Abstral and PecFent (Fentanyl) for breakthrough cancer pain, Moventig (Naloxegol) for opioid-induced constipation and Adcal-D3 (calcium and vitamin D3) for osteoporosis.