Unichem in pact with IIS

Mumbai: The Rs 300-crore Unichem Laboratories has signed an agreement with the Bangalore-based Indian Institute of Science (IIS) to set up a biotech-based research and development (R&D) centre to develop recombinant DNA products, protein expression and platform theologies.

The company has also tied up with Glenmark Pharmaceuticals to co-market Glenmarks anti-biotech drug Linezolid in different regions across the country. Linezolid is a new generation antibiotic that is useful in combating life-threatening infections and resistant strains of certain organisms.

Unichem officials said IIS has allotted 3,500 sq ft of floor space at its Bangalore campus to Unichem for setting up a laboratory. The company plans to invest about Rs 7 crore in the initiative. An initial sum of Rs 4 crore will also be invested in the current financial year to set up a sophisticated R&D centre by January 2002. We have allotted Rs 5 crore for capital expenditure and have accounted for an annual revenue expenditure of Rs 2 crore, the officials added.

Unichem has drawn up a blueprint on the four projects that it plans to undertake at its new R&D centre. Of these, Unichem will undertake three projects and one will be jointly undertaken with IISs biotechnology department. The company has, so far, recruited seven scientists and plans to induct eight more in the next financial year.

The officials said that the company is looking to tap market potential for biogenerics globally. According to a recent IMS report, the potential market for global biogenerics is worth about $2 billion and products such as erythroprotein alpha, filgrastim, interferon alpha-2b, interferon beta 1-a, hepatitis B vaccine, somatropin and interferon beta-1b are fast nearing generic exposure.

The current sales value of biotech drugs that are coming off patent before 2005 is worth US$ 25 billion, the report says. Unichems alliance with IIS is the second such alliance for the company. It already runs a research programme in the area of plant biotechnology with NBRI, Lucknow.

Unichem recently operationalised a Rs 10-crore R&D centre at Jogeshwari, Mumbai, in order to take up research in drug discovery and novel drug delivery systems (NDDS). The company had initially planned to convert its formulation development centre into a biotechnology lab. Unichems R&D focus in the synthetic chemistry area is focused on pain management, hypertension, anti-ulcer and gastrointestinal disorders.