Towa Pharmaceutical Co., Ltd.
Notice on Conclusion of Basic Agreement for Establishing a Collaboration Framework for Pharmaceutical Manufacturing with Otsuka Pharmaceutical
Towa Pharmaceutical concluded a basic agreement for a collaboration framework in pharmaceutical manufacturing with Otsuka Pharmaceutical on January 21, 2026, aiming for stable supply of off-patent drugs.
Key Figures
- Basic Agreement Conclusion Date: 2026-01-21
- Impact on FY ending March 2026 Performance: Minor
- 14% of all prescription pharmaceuticals (2,208 items) face shipment restrictions or supply suspension (as of October 2025)
AI要約
Overview of Collaboration
Towa Pharmaceutical Co., Ltd. and Otsuka Pharmaceutical Co., Ltd. signed a basic agreement on January 21, 2026, to establish a strategic collaboration framework for pharmaceutical manufacturing. Through succession and contract manufacturing of certain pharmaceuticals held by Otsuka Pharmaceutical, and licensing utilization of strategically collaborative products, they aim to ensure stable supply of pharmaceuticals. The initiative focuses on succession and contract manufacturing to secure stable supply of long-listed products and establishing a mutual backup system, with sequential commencement planned as production preparations are completed from the fiscal year ending March 2026 onwards.
Background and Future Outlook
In response to the government’s industrial structure reform recommendations, supply instability in the generic pharmaceutical industry has become a social issue. Both companies promote comprehensive collaboration beyond the boundaries of original drug and generic drug companies. They aim to contribute to sustainable growth in the off-patent drug market and improve the sustainability of the domestic pharmaceutical industry. The impact on fiscal year ending March 2026 performance is expected to be minor, while contributing to performance improvement over the medium to long term.