GSK and Shenzhen Neptunus form joint venture for China vaccine production

GlaxoSmithKline (GSK) and China's Shenzhen Neptunus Interlong Bio-Technique Co. Ltd have entered into a definitive agreement to establish a new joint venture. The venture will concentrate on developing and manufacturing influenza vaccines specifically for the markets of China, Hong Kong, and Macau.

GSK will contribute its vaccine development expertise and proprietary adjuvant system, which enhances efficiency and allows for more doses to be produced from a smaller amount of antigen. Shenzhen Neptunus will provide local manufacturing capacity and research and development expertise within the Chinese market.

Both companies will invest in the joint venture's manufacturing capabilities. GSK will initially hold a 40% stake, with plans to increase its ownership to a majority interest within two years. The transaction is expected to be completed in the fourth quarter of 2009, pending local regulatory approval.

The vaccines, intended for seasonal, pre-pandemic, and pandemic influenza, are expected to become available in the coming years. This alliance aims to improve public health in China and neighboring territories.