GSK, Auxilium to co-promote testosterone therapy

MALVERN, Pa. — The U.S. subsidiary of British drug maker GlaxoSmithKline and U.S.-based Auxilium Pharmaceuticals will co-promote a testosterone-replacement drug, the two said Monday.

GSK and Auxilium announced an agreement for the co-promotion of Testim 1% (testosterone gel), used in men with conditions related to deficiency or absence of the hormone.

"Today, GlaxoSmithKline and Auxilium have forged a collaboration to expand our reach to U.S. physicians who treat men with low testosterone and its resulting symptoms, known as hypogonadism, which we believe is a prevalent but poorly recognized condition," Auxilium president and CEO Adrian Adams said. "While the Auxilium sales force has consistently performed well in an increasingly competitive environment, adding the strength and breadth of GSK's U.S. commercialization organization will further enhance our sales efforts with U.S. physicians who treat this condition."

Under the agreement — for which precise financial terms were not disclosed — GSK will have the exclusive right to co-promote Testim with Auxilium in the United States through September 2015. Auxilium will be responsible for commercial drug manufacturing, supply and regulatory activities, while GSK will receive compensation based on net sales and tail payments.

Testosterone therapies are about $1.6 billion per year, including $1.4 billion for testosterone gels, according to IMS Health.

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