[Kenya] Immune Therapeutics inks distribution deal with Omaera Pharmaceuticals
Immune Therapeutics, Inc., a specialty pharmaceutical company focused on developing and commercializing Lodonal™, its patented, affordable, non-toxic therapy for the management of cancer, HIV, autoimmune diseases and other inflammatory conditions, has entered into an exclusive agreement with Kenya-based Omaera Pharmaceuticals, Ltd. for the sale and distribution of Lodonal™, valued at a minimum of $31 million in revenues over three years.
Under the terms of the agreement Omaera will supply Lodonal to patients exclusively in Kenya, where 5.9% of the country's 47 million population live with HIV/AIDS.
Immune Therapeutics will sell Lodonal to Omaera at a rate of $0.65 per pill, or $19.50 per carton
It requires a minimum purchase commitment of over one million pills in the first six months; over 3.6 million pills in the second half of the first year; and 14.4 million and 28.8 million in the second and third years, respectively.
Omaera Territory includes six countries: Republic of Kenya, Republic of Uganda United Republic of Tanzania, Republic of Burundi and Republic of Rwanda. Making up the East Africa Community.
Based on numbers from Avert there are 4,670,000 living with HIV in the region. Omaera was launched in 1993 as a locally owned wholesaling operation that has grown into one of the most recognized medical supply and distribution companies in East Africa.
Dr. J. Njoroge, Managing Director of Omaera Pharmaceuticals, Ltd., said "Following the finalization of the distribution agreement with Immune Therapeutics, we have made the commercial commitment to launch Lodonal into Kenya and start exploring its medical potential for those suffering from HIV/AIDS, cancer and other ailments that could benefit from Lodonal."
"We are excited to be partnering with Omaera Pharmaceuticals for the initial sale and distribution of Lodonal throughout Kenya," said Noreen Griffin, Chairman and CEO of Immune Therapeutics, Inc. "Omaera is an innovative organization with very strong regional ties and a management team and board with strong local connections. This first-to-market opportunity has the potential to be a game changer in the treatment of HIV/AIDS as it demonstrates the continued growth in confidence and acceptance of Lodonal throughout the pharmaceutical industry. The revenues generated from our successful launch of Lodonal in Kenya should enable us to achieve profitability by the middle of 2018 and significantly strengthens our position to expand across additional countries, such as Nigeria, which is expected to be announced by the fourth quarter of this year," concluded Ms. Griffin.
Commenting on the agreement, Dr. Njorge Keige, CEO of Omaera Pharmaceuticals, Ltd., said, "Our partnership with Immune Therapeutics is a major step forward for patients infected with HIV/AIDS who are in urgent need of new innovative treatments. Our successful launch of Lodonal will considerably strengthen Omaera Pharmaceuticals' position as one of the leading pharmaceutical companies in East Africa."
Dr. Gloria B. Herndon, CEO of GB Pharma Holdings said "We are proud to have successfully facilitated the distribution contract in Kenya for Lodonal. We have many to thank for this process, most importantly Dr. Njoroge, the CEO of Omaera, for his vision as well as our local representatives in Kenya who have worked tirelessly to bring this to fruition. We are now firmly poised to build upon this success across other countries," concluded Dr. Herndon.