Protalix close to deal with Brazilian government

The agreement on its Gaucher's disease treatment is worth hundreds of millions of dollars.

13 November 12 16:20, Gali Weinreb and Hillel Koren

Protalix Biotherapeutics Inc. (AMEX:PLX; TASE: PLX) is close to signing an agreement for selling its Gaucher's disease treatment to the government of Brazil, in a deal worth hundreds of millions of dollars. Sources close to the deal told "Globes" that it would probably be signed within a few days.

Protalix is negotiating with the Brazilian government together with pharmaceutical giant Pfizer, which markets Protalix's drug exclusively throughout the world, apart from in Israel, where Protalix markets the drug itself.

Pfizer and Protalix divide revenue from the drug, 60% to Pfizer and 40% to Protalix. Pfizer is responsible for marketing and marketing expenses, while Protalix is responsible for production and ancillary expenses. Protalix would not comment on the report.

Protalix shares are up about 0.5% on the Tel Aviv Stock Exchange today. The company has a market cap of about NIS 1.7 billion.

The current quarter is the first full quarter in which the drug is being sold. It received approval in May.

Published by Globes [online], Israel business news - www.globes-online.com - on November 13, 2012

© Copyright of Globes Publisher Itonut (1983) Ltd. 2012