Governor's initiative paves way for pharmaceutical joint venture between Rafarma Pharmaceuticals (OTC: RAFA) and St. Petersburg-based Pharmsynthez. At meetings initiated by Governor Oleg Korolev of Lipetsk, Management from Rafarma and Pharmasynthez have agreed in principal to commence a 'joint venture production plan', with the potential to substantially increase revenues for both companies. The agreement is contingent upon a satisfactory technical audit of Rafarma's facilities by Pharmasynthez to be conducted next month.
The joint venture production plan calls for various Pharmasynthez pharmaceutical products to be manufactured in Rafarma's facilities, almost doubling capacity and expanding market share accordingly. The Ontological and Antibiotic products to be produced currently have domestic revenues of approximately $250,000,000. While Pharmasynthez has an existing market share of approximately 20%, the joint venture production plan with Rafarma anticipates increasing market share to 35% or more.
"Rafarma’s state-of-the-art facility is a sought-after partner in the rapidly-growing Russian pharmaceutical industry and our expanding portfolio of products continues to draw attention from industry participants and investors alike" stated Rafarma CEO Dave Anderson.
ABOUT RAFARMA PHARMACEUTICALS, INC.:
Operating from a new 270,000 square-foot state-of-the-art manufacturing and distribution facility in Russia, Rafarma Pharmaceuticals produces generic antibiotics and specialty pharmaceuticals in addition to its own line of proprietary products that are approved by the Ministry of Health of Russian Federation. For the last three years, the Russian Government has been highly focused on bolstering the development of nation's domestic pharmaceutical industry. Rafarma Pharmaceuticals' mission is to work with the auspices of aggressive federal initiatives to fast-track the modernization of Russia's pharmaceutical industry.
Founded in 1996, Pharmasynthez became a fully operational research and production facility in 2001 and currently conforming to GMP and GOST R 52249-2004 standards of pharmaceutical manufacture and quality control. Pharmsynthez currently produces Neovir?, Segidrin?, Fenasid? and Penkrofton? used in oncology, gynecology, treatment of immunodeficiencies and tuberculosis.
Safe Harbor Statement
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SOURCE: Rafarma Pharmaceuticals, Inc.