Siegfried signs comprehensive cooperation agreement with Arena Pharmaceuticals

20-Dec-2007

Siegfried has signed long-term cooperation agreements with Arena Pharmaceuticals, Inc. Under the agreement, primarily the active pharmaceutical ingredient (API) for Arena's drug Lorcaserin hydrochloride and other APIs will be produced at the Siegfried plant in Zofingen. For the production of its drugs, Arena will take over the pharmaceutical final dosage forms production from Siegfried in Zofingen including approx. 70 employees. In the future, Arena will continue to manufacture the range of finished products for Siegfried currently produced at the plant. The purchase price corresponds to approx. 47 million Swiss Francs (32 million Swiss Francs in cash and approx. 1.5 million shares of Arena Pharmaceuticals.)

In terms of the agreement, Siegfried will become a long-term supplier of Lorcaserin's API. This API is currently in clinical phase III and will be used to fight obesity. In addition to Lorcaserin, Siegfried is also currently developing two additional APIs in Zofingen for Arena. The agreement is based on a close longterm cooperation between the two companies.

Effective January 1, 2008, Arena will acquire Siegfried's pharmaceutical finished dosage forms production in Zofingen and will retain all approx. 70 Siegfried employees in that field. The production site has been inspected and approved by the United States Food and Drug Administration (FDA) and by Swissmedic, the equivalent authority in Switzerland. Siegfried will support Arena in its production activity by means of various services, for instance, in development, quality assurance, security and IT. A corresponding service agreement has been concluded.

Due to economic reasons and favourable patent-related parameters, Siegfried decided three years ago to establish a plant in Malta for the production of generics, which was inaugurated on schedule in June 2007. In the future, Siegfried will concentrate its production of generic drugs in Malta.

The production program currently produced by Siegfried in Zofingen will in the future be produced by Arena for Siegfried with the same quality standards.

https://www.bionity.com/en/news/75973/siegfried-signs-comprehensive-cooperation-agreement-with-arena-pharmaceuticals.html