Amgen teams up with GlaxoSmithKline

Biotechnology group Amgen has signed a deal with UK pharmaceutical firm GlaxoSmithKline (GSK), it was announced yesterday.  Thousand Oaks, California-based Amgen will team up with GSK to jointly commercialize Amgen's hotly-anticipated experimental osteoporosis drug denosumab in Europe and emerging markets. The deal marks a significant move into primary care drugs and international markets for Amgen, which is attempting to increase sales following criticism for over-pricing. To date, around 95 percent of the companyÔÇÖs sales have been in Europe and North America. London-based GSK is to pay $120 million initially for near-term milestones to share profits in Europe and to sell the drug for both osteoporosis and cancer treatment in emerging markets such as China, Brazil, India and South Korea.  Amgen will carry out marketing of the drug in the US and Canada and will retain rights to sell it for cancer in Europe once approved. If approved by regulators, the drug could reach annual sales of $2 billion within the next ten years. "Our collaboration with GlaxoSmithKline will help Amgen bring the promise of denosumab to patients in Europe and other parts of the world more effectively than if we commercialized the drug globally on our own," said Amgen CEO Kevin Sharer.  "Amgen and GlaxoSmithKline together are uniquely positioned to help medical providers and patients understand the clinical promise and economic value of denosumab."  Yesterday, Amgen announced second-quarter net profits of $1.27 billion, compared with $906 million for the same quarter a year ago. The company employs approximately 17,000 people worldwide. * ┬á┬á┬á┬á┬á┬á*┬á┬á┬á┬á┬á┬á *