On Monday, Biocon Biologics said it had signed an outsourcing agreement with Yoshindo Inc to commercialise two biosimilar assets in the Japanese market.

Under the terms of the deal, Japan-based Yoshindo received exclusive commercialisation rights in Japan for Ustekinumab and Denosumab, developed and manufactured by Biocon Biologics, for a potential market opportunity of $700 million, Biocon Biologics said in a statement.

Biocon Biologics, a subsidiary of Biocon, will receive an up-front license fee and additional payments to achieve certain development milestones over the next several years.

Ustekinumab biosimilar is a monoclonal antibody used to treat various autoimmune diseases, including psoriasis, Crohn’s disease, ulcerative colitis, plaque psoriasis and psoriatic arthritis.

Denosumab is a monoclonal antibody for the treatment of osteoporosis. Shreehas Tambe, Deputy Chief Executive Officer of Biocon Biologics, said, “Once approved, these products will expand our offering of affordable, high-quality biosimilars to the Japanese market and meet patient needs in the bone health and immunology therapy areas.”

The company is developing a broad portfolio of 20 biosimilars independently or through strategic partners. Following another partner’s successful launch of insulin glargine in Japan in 2016, Biocon Biologics became the first Indian company to commercialise a biosimilar in Japan.