Teva Pharmaceutical Industries Ltd. (TEVA: Quote) said it has agreed to establish a joint venture in South Korea with Handok Pharmaceuticals Co., Ltd., enabling it to gain entrance into Korean pharmaceutical market that is currently valued at about $14 billion. Financial details of the deal were not being disclosed.
Under the terms of the agreement, Teva will be responsible for manufacturing and supplying a wide range of affordable and innovative medicines, while Handok’s primary responsibility will be in sales and marketing, distribution, and regulatory affairs.
Teva will take a controlling stake in the new business venture, with a profit split of 51 percent/49 percent to Teva and Handok, respectively.
The companies expect the joint venture to commence activities in the next few months, subject to receipt of applicable regulatory approvals.
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by RTT Staff Writer
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