Hyderabad: Alembic Pharmaceuticals Ltd on Thursday said it has formed a joint venture (JV) with Orbicular Pharmaceutical Technologies Pvt. Ltd to develop, manufacture and commercialize dermatology products for global markets.

Alembic will hold 60% in the joint venture Aleor Dermaceuticals, Orbicular will hold the rest.

Ahmedabad-based Alembic said the joint venture will set up a manufacturing facility to enable worldwide registrations.

Alembic didn’t disclose the financial details of the venture or investments made on setting up the manufacturing facility.

“The JVA has standard terms including transfer of employees, financing and borrowing management functioning, restriction on transfer of shares, non-compete, non-solicitation and termination events and consequences," Alembic said in a statement.

Orbicular, founded by veteran pharmacist M.S. Mohan, has capabilities in developing dermatology products with a research laboratory in Hyderabad and has a pipeline of products under various stages of development.

Shares of the company rose 6.57% and were trading at Rs.609 at 12.52pm on the BSE, while the benchmark Sensex index gained 0.37% to 25,940.67 points.

Dermatology is attracting pharmaceutical companies, as a lot of skin problems are associated with lifestyle and changing environment. Innovation in dermatology involves reformulating existing drugs to treat skin conditions.