Brazilian antitrust agency approves Bionovis and Merck's partnership deal

The General Superintendent of the Brazilian Antitrust Agency (CADE) approved the agreement between the Brazilian Company for Pharmaceutical Biotechnology (Bionovis), Ares Trading AS (Merck) and Germany’s Merck KGaA (MRK: DE), reports Juliane Carvalho on Brazil Pharma News.

The deal includes a collaboration agreement establishing the partnership between Bionovis and Merck. The proposal includes the transfer of technology from Merck to Bionovis for the development and commercialization of biosimilar products and potentially innovative products in Brazil (The Pharma Letter April 14).

The CADE explained that the approval of this agreement is in line with the National Program for the Promotion of Production and Innovation in Public Health Industrial Complex, which introduces new guidelines for product development partnerships (PDPs). Also, there is no evidence showing oligopolies or negative competition environment, but a potential increase in the supply offered by the partnership. There will be no transfer of ownership of any patents in the agreement, but only the licensing of patents.