Algorae Pharmaceuticals Signs Binding Deal with Cadila for Australia and New Zealand Launch

Algorae Pharmaceuticals (ASX: 1AI) has signed a binding term sheet with Cadila Pharmaceuticals, one of India’s largest privately owned drug manufacturers, paving the way for the introduction of two generic medicines into the Australian and New Zealand markets.

Under the proposed license and supply agreement, Algorae will commercialise medicines in the cardiovascular and metabolic therapeutic categories. These are priority areas for public health and represent significant commercial potential for both companies.

The partnership marks a major strategic step for Algorae, which is leveraging its artificial intelligence driven drug development capabilities alongside Cadila’s global manufacturing expertise. Cadila operates multiple facilities approved by global regulators including the US Food and Drug Administration, European Union authorities, and Australia’s own Therapeutic Goods Administration.

Algorae will now begin the process of preparing regulatory submissions for approval by the TGA. Planning for product registration is already underway, and the company has committed to keeping shareholders updated as the program progresses toward commercial launch.

“This partnership represents an important step in executing our commercial strategy and expanding our product portfolio through a world class manufacturing partner,” said Chief Commercial Officer Vishal Shah. He added that the next priority is finalising the definitive agreement and commencing formal regulatory documentation.

Cadila Pharmaceuticals, headquartered in Ahmedabad, India, has a footprint spanning more than 100 countries and a workforce of over 9,000. Its portfolio includes finished formulations, active pharmaceutical ingredients, contract research, and manufacturing services. Cadila’s research team comprises more than 350 scientists focusing on therapeutic areas including cardiometabolic, oncology, respiratory, anti-infective, gastrointestinal, and pain management.

This partnership signals a clear intent from Algorae to transition from an AI focused development company to a commercial pharmaceutical business. It also provides a strategic entry into two highly regulated markets where Cadila’s products have already met the standards of global authorities.

Algorae, through its proprietary platform AlgoraeOS, uses deep learning and machine learning to discover synergistic drug combinations. While its drug discovery work continues, partnerships such as this provide an immediate commercial pathway and revenue stream.

Both companies are now working to execute a formal license and supply agreement that will govern the commercial rollout. For Algorae, it marks its first major deal involving branded product launches in Australia and New Zealand.