Here is the wording from the Alchemia 2011 Annual Report in...

Here is the wording from the Alchemia 2011 Annual Report in relation to the profit share change after Apotex AG hit the market:

"On 9th August, Alchemia became aware that GlaxoSmithKline
(GSK) and Apotex had launched an authorized generic
version of GSK’s fondaparinux.

Due to the launch of an authorized generic, Alchemia’s
profit share arising from sales made by Dr Reddy’s
reduces from 60% to 50%."

If anyone can point to more detail in relation to the agreement in terms of competitors, it would obviously be nice to know.

I'm guessing that the split might not revert to 60:40 due to other factors like additional generic competition having caused the selling price to drop. Am sure the shrewd DR counsels would have covered this scenario in their agreement with ACL.

Despite all this, as Ousia has indicated, it is likely that Apotex might drop away and therefore the change from 3 suppliers to 2 will provide DR with a better and less competetive sales landscape.

In saying all the above, within a year or so, assuming initial HyACT trial FDA success and approval, the Fonda revenue will be a sideshow compared to the revenue opportunities for HyACT initially and then VAST further down the track.