ImageDrug maker Natco Pharma said it has entered into an agreement with Dr Reddy's Laboratories for the development, manufacture and supply of value added generic oncology drugs, used for cancer treatment, for an undisclosed amount.

In a filing to the Bombay Stock Exchange, Natco Pharma said the products selected for generic development under this strategic collaboration, include currently selling oral and injectable products.

“We are delighted to be working with Dr Reddy's, which has strong reputation and proven track record in the global pharmaceutical industry. We look forward to a mutually beneficial strategic collaboration,” Natco Pharma COO Mr Rajeev Nannapaneni said.

Dr Reddy's and Natco would together develop these products for registration and global commercialisation. Natco would excursively manufacture and supply the products for global commercialisation by Dr Reddy's.

As per the agreement, Dr Reddy's would pay an undisclosed amount an upfront to Natco for securing rights to the product portfolio and the capacity required to make the products. In addition both parties would have have a profit sharing mechanism in their respective designated territories.