Algorae Signs Exclusive Oncology Licensing Deal, Targets ANZ Market with Sakar Partnership

Algorae Pharmaceuticals (ASX: 1AI) has marked a pivotal step in its commercial journey, signing an exclusive licensing agreement with Indian pharmaceutical group Sakar Healthcare to distribute five oncology medicines in Australia and New Zealand.

The agreement marks Algorae’s first commercial product launch in the region and significantly expands its footprint beyond research and development. The initial target market for the licensed generic oncology drugs is valued at around A$10 million annually across both countries.

Regulatory preparations are now underway, with Algorae moving to secure Therapeutic Goods Administration approval ahead of product rollouts. The medicines will be marketed under the Algorae brand and align with the company’s broader oncology ambitions.

Algorae Chief Commercial Officer Vishal Shah described the licensing deal as “the company’s first major commercial milestone for the Australian and New Zealand markets,” and one that will strengthen growth plans for both companies. “We are delighted to partner with Sakar on this exciting opportunity,” he said.

Sakar Healthcare is an established pharmaceutical manufacturer headquartered in Ahmedabad, India, with products spanning injectables, oral solids and liquids, and sterile formulations. The company operates facilities certified by both EU and WHO regulators and exports to over 60 countries.

Before finalising the deal, Algorae conducted a comprehensive site inspection of Sakar’s manufacturing operations, confirming compliance with quality systems and production scalability. The due diligence reinforced confidence in Sakar’s capacity to meet Algorae’s strategic and regulatory expectations.

For Algorae, this commercial step complements its ongoing oncology research initiatives. The company is currently conducting a validation program at the Peter MacCallum Cancer Centre using its proprietary artificial intelligence platform, AlgoraeOS. The platform has generated 21 novel oncology targets, with results from the validation program expected in the fourth quarter of 2025.

Chairman David Hainsworth said the partnership with Sakar supports both patient access and long-term commercial growth. “Our licensing agreement enhances our product offering, expands our market reach, and reflects our strategy of combining AI-driven discovery with tangible near-term revenue opportunities,” he said.

Algorae's approach uniquely blends artificial intelligence with pharmaceutical development. Its AlgoraeOS platform applies machine learning and deep learning to identify synergistic drug combinations, aiming to address unmet medical needs with greater speed and accuracy.

Through its commercial arm AlgoraeRx, the company is pursuing multiple initiatives to bring both AI-derived therapies and licensed pharmaceuticals to market.

With this partnership, Algorae is signalling its intent to become a meaningful player not only in advanced drug discovery but also in the supply of high-quality, accessible medicines in regulated markets.