Glaxo strikes marketing deal with Roche

GlaxoSmithKline has signed a deal to co-market Roche's osteoporosis treatment.

The two firms are to jointly develop and promote the drug, ibandronate, in all countries except Japan and will share future profits.

The drug is currently in clinical trials and GSK expects regulatory filings to be made in both the US and Europe next year.

Analysts say GSK's involvement in the marketing of the drug could double ibandronate's peak revenue to $500m (£352m).

GSK has a sales force of 8,000 in the US, so giving Roche more leverage in the GP sector in the country.

The market for osteoporosis drugs is huge, with one in three postmenopausal women over 50 affected by the bone disease.

While Roche will take the revenue generated by the drug, analysts say the profit sharing deal could be as much as 50-50, a major boost for GSK.

GSK has signed similar deals recently with Japan's Shionogi for several early stage products and Germany's Bayer for its impotence drug vardenafil.

Max Herrmann, of ING Charterhouse, says GSK is beginning to respond to City fears about its thinning pipeline of products.

"They are all moves in the right direction - to strengthen the pipeline at Glaxo - and that has been a main criticism," he said of the recent deals.