What we know about Teva Pharmaceuticals Teva and Marinus Pharmaceuticals in Australia
The Teva-Marinus pharmaceutical partnership is one of Australia’s biggest health deals in recent years, with the Teva group now holding a 51 per cent share of the Australian drugmaker Marinus.
Teva’s share in Marinus grew from 3 per cent in 2016 to 6 per cent this year, according to a recent report by Avalere Health.
The company has been under scrutiny for several years, as the Australian Securities and Investments Commission (ASIC) investigated allegations that it was using insider trading and bribery to keep its shares high and its drugs cheap.
In 2015, the Australian Competition and Consumer Commission (ACCC) fined Marinus $1.2 million for failing to disclose its relationship with Teva, and ordered it to repay the $8.4 million it received for providing Marinus with an undisclosed sum of money.
Marmus Pharmaceuticals has been criticised for not doing enough to stop Marinus from acquiring another Australian drug company, AstraZeneca.
AstraZed is now the largest pharmaceutical company in Australia, with sales of $12 billion.
The ACCC fined Marines for not enforcing anti-corruption laws and warned that AstraZea could be a potential “significant threat to the Australian economy” if it went ahead.
While Marinus and Astra Zed have had strong relationships for decades, the pair are at odds with each other and the Australian public, with Marinus pushing its own drug product.
The pair’s CEO, Martin Schreiber, was recently forced to resign over allegations of bribery and conflict of interest.
The Australian Securities Exchange (ASX) has issued an alert warning that Marinus has a “potential conflict of interests”.
In a statement, the ASX said it had received “an extraordinary number of complaints of potential conflicts of interest”.
Marinus has previously faced allegations of “a pattern of bribery” and “corruption” by Astra Zea, but this week it denied any wrongdoing.
“Marinus continues to take the concerns raised by ASIC seriously and will take all appropriate action to remedy any concerns raised,” the company said in a statement.
As part of the Tevada Pharmaceuticals deal, Marinus will take over Marinus’ drugs, but it is unclear if Astra Zeneca will also take part in the Marinus deal.