(Alliance News) - GSK PLC on Monday said it has reached an exclusive agreement with Chongqing Zhifei Biological Products Ltd to co-promote its shingles vaccine, Shingrix, in China.

Shingles, also known as herpes zoster, is caused by a reactivation of the varicella-zoster virus - the same virus that causes chickenpox. Shingles typically present as a rash with painful chest, abdomen, or face blisters.

The pharmaceutical company described Zhifei as the largest vaccine company by revenue in China and said the partnership will significantly extend the availability of Shingrix.

The contract is for an initial three-year period, with the potential to extend the partnership.

GSK said that by bringing together the scale and expertise of the two companies, the strategic partnership will significantly extend the availability of Shingrix.

Set to start on January 1, Zhifei will have exclusive rights to import and distribute Shingrix in China. Zhifei will purchase agreed volumes of Shingrix with a value to GSK of GBP2.5 billion in total over the initial three-year period.

GSK, as the license holder for the product, will co-promote Shingrix by raising awareness of the importance of shingles vaccination amongst healthcare professionals within community health centres and hospital settings.

In August, GSK celebrated positive results from the first-ever efficacy trial of its preventative shingles treatment, Shingrix, in China. According to London-based GSK, results from a post-license phase IV trial showed 100% vaccine efficacy in the prevention of shingles in adults aged 50 and over in China.

Chief Commercial Officer Luke Miels said: "This partnership is consistent with our focus on products with a high and durable level of differentiation. It materially expands the number of Chinese adults who can benefit from Shingrix and includes the option to extend the collaboration to include our novel [respiratory syncytial virus] vaccine, Arexvy."

Shares in GSK were up 0.7% at 1,509.20 pence each in London on Monday morning.

By Sophie Rose, Alliance News reporter

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