GlaxoSmithKline in licensing talks with Biota over Relenza production

Australia-based Biota has said that it is negotiating with pharmaceutical giant GlaxoSmithKline (GSK) over terms of the sale of its influenza drug Relenza.

The company said that the French government plans to stockpile nine million doses of the drug, expanding the country’s current stockpile from 200,000. GSK is licensed to manufacture and sell the drug within the region, but has not confirmed pricing for new orders with Biota.

Biota said that GSK was “ramping up” production of the drug to meet demand, which has been boosted by fears of a pandemic arising from bird flu. Recent comments from executives at the firm highlighted that orders for the drug had been “overwhelming”.

“We just can’t produce enough units no matter what we do. But we are greatly expanding our internal capacity and we have opened new plants for Relenza in the last six months in different continents,” said Dr JP Garnier, CEO of GSK.

“The ramp up of our production is going to really have a major effect next year and even more the year after, but we start from a very low base in 2005,” he added.

Biota said that it was still pursuing litigation against GSK for not appropriately supporting Relenza.

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