Alvotech to invests $250M in the development of biosimilar monoclonal antibodies

Alvotech, a powerful new player in the field of biopharmaceuticals, today announced plans to invest $250 million in the development and manufacturing of a portfolio of biosimilar monoclonal antibodies. Alvotech's current biosimilar assets include follow-on versions of leading monoclonal antibodies molecules, which will be brought to market by 2018.

Headquartered in Reykjavik, Iceland, Alvotech is an independent sister company of the multinational pharmaceuticals company, Alvogen. Through the Alvotech-Alvogen alliance, Alvogen will add key pipeline molecules to its existing biosimilar business. Alvogen currently markets biosimilars in selected regions through alliances with other firms including Hospira and has several pending marketing authorizations worldwide.

"At Alvotech we are inspired to help patients around the world by increasing the accessibility and affordability of high quality biopharmaceuticals," said Dr. Andreas Herrmann, CEO of Alvotech, "By combining Alvotech's development and manufacturing excellence with Alvogen's global marketing platform, we are taking a significant step toward becoming a major player in the biopharmaceutical industry and bringing valuable investment to support our growth."

Alvotech broke ground in November, 2013 on a new 11,800sqm development and manufacturing facility, where it will produce its own developed biosimilars, the first of which are already in advanced development stage (molecule names undisclosed). Located in the science park of the University of Iceland in Reykjavik, the site will provide Alvotech with a state of the art, fully vertically integrated biologics manufacturing plant. Iceland is a favorable location offering a strong regulatory system, low operating costs, a great talent pool, high quality standards and a convenient geographical location between the EU and US that is within easy reach of the rest of the world.

"Many of the world's top-selling drugs are biologics, and exposure to biopharmaceuticals has become an important growth engine for Alvogen. The alliance with Alvotech will allow us to leverage our global commercial network in over 30 countries and is an important step for both companies towards becoming leaders in the biopharmaceutical industry. The partnership is a valuable addition to our current biosimilar business," said Robert Wessman, Chairman and CEO of Alvogen.

Dr. Andreas Herrmann leads the Alvotech management team and brings 25 years of industry experience. Prior to joining Alvotech, Dr. Herrmann served as the CEO of Baliopharm AG and Celonic in Switzerland. In 1994, he received his PhD in biochemistry in neurobiology and joined the University of Cologne as an associate professor in the department of cardiovascular physiology. Since 1996, he has been the co-founder and CEO of four biotechnology companies.