The biotech company AB-BIOTICS, listed on the Spanish Alternative Investment Market (MAB), has signed a license agreement that gives ACETO CORPORATION exclusive distribution rights for its cholesterol-targeting probiotic AB-LIFE in the United States and Canada. AB-BIOTICS estimates the contract value is nearly 3.5 million euros over the contract period: three and a half years.
AB-LIFE will be released in the next six months in the North-American market, with great sales potential as over 100 million adults in the U.S. alone have total blood cholesterol values higher than normal (200mg/dl), according to the American Heart Association.
"This contract marks a significant milestone for AB-BIOTICS, since the United States and Canada are two priority markets for the company’s internationalization plan, and thanks to Aceto Corporation we can enter them with a local and very well positioned partnership”, said Miquel Angel Bonachera and Sergi Audivert, cofounders and CEOs of AB-BIOTICS.
With 65 years of experience in the distribution of pharmaceutical and nutritional ingredients, Aceto Corporation's profile makes it an ideal partner to accompany AB-BIOTICS in its entry into the U.S. market. The company, listed on the Nasdaq and having a turnover of 412.4 million dollars in 2011, distributes components for global firms in the pharmaceutical, nutraceutical, agricultural and chemical industries. "Aceto Corporation also has a strong sales network in China and India, which opens for AB-BIOTICS the door to a possible future entry into the Asian market", added Miguel Angel Bonachera and Sergi Audivert.
The agreement with Aceto Corporation is the fifth international license agreement signed by AB-BIOTICS so far this year. The probiotic AB-LIFE already has license agreements in Mexico, Brazil and Venezuela through the pharmaceutical companies Armstrong Laboratories, LETI Laboratories and BIOLAB, respectively, while the Slovenian firm INSPHARMA has the distribution rights of the product in in Southeast Europe (Slovenia, Croatia, Bosnia-Herzegovina, Serbia, Montenegro, Macedonia and Albania. In Spain, AB-LIFE is marketed by LACER Laboratories under the trade name "Primacol with Lactobacillus AB-LIFE".