Aurobindo Pharma Signs Royalty-Free HIV Drug Licensing Deal With MSD Across 129 Countries

Aurobindo Pharma Ltd. has signed a non-exclusive, royalty-free voluntary licensing agreement with MSD (Merck & Co., Inc.) to manufacture and supply generic alimtravir across 129 low- and middle-income countries (LMICs), marking a significant step toward expanding access to HIV prevention medicines. The agreement, announced on July 24, 2026, is subject to applicable regulatory approvals before commercial supply can begin.

The partnership is notable because the licensing agreement was signed before the completion of Phase 3 clinical trial enrolment, making it the first such voluntary licensing arrangement for an HIV prevention medicine at this stage of development. The early agreement is intended to help manufacturers prepare for large-scale production and improve access once regulatory approvals are secured.

For Aurobindo Pharma, the deal strengthens its position in the global generic pharmaceuticals and infectious disease segments while reinforcing its long-standing focus on improving access to affordable medicines in developing markets.

Aurobindo Pharma Signs Royalty-Free Licensing Agreement With MSD

Under the agreement, Aurobindo Pharma will receive a non-exclusive voluntary licence to manufacture and supply generic alimtravir across 129 eligible low- and middle-income countries.

The licence is royalty-free, allowing the company to manufacture the medicine without paying royalties to MSD, subject to regulatory approvals and other agreed conditions.

Deal Details

Particulars	Details
Company	Aurobindo Pharma Ltd.
Partner	MSD (Merck & Co., Inc.)
Agreement Type	Non-exclusive voluntary licence
Royalty Structure	Royalty-free
Product	Generic Alimtravir
Eligible Markets	129 Low- & Middle-Income Countries (LMICs)
Regulatory Status	Subject to approvals

Why the Agreement Is Significant

The agreement was signed before the completion of Phase 3 clinical trial enrolment, making it the first voluntary licensing agreement of its kind in HIV prevention. By securing the licence at an early stage, Aurobindo Pharma can begin planning manufacturing capacity, regulatory submissions, and supply chain readiness well before commercial approval, reducing the time required to make generic alimtravir available after regulatory clearance and helping accelerate access to HIV prevention therapies across the 129 eligible low- and middle-income countries (LMICs) covered under the agreement.

Focus on Global HIV Prevention

The agreement covers 129 low- and middle-income countries (LMICs), many of which account for a significant share of new HIV diagnoses worldwide. By granting non-exclusive manufacturing rights to multiple generic drug manufacturers, the licensing programme aims to improve the availability, affordability, and timely supply of HIV prevention medicines once the necessary regulatory approvals are obtained, while supporting broader efforts to strengthen healthcare access in resource-constrained regions.

Management Commentary

Umesh K, Associate President and Head – Global Access & Licensing at Aurobindo Pharma, said expanding access to high-quality and affordable medicines remains central to the company's purpose. He added that the collaboration reflects Aurobindo's commitment to working with global innovators to improve equitable access to potential new HIV prevention therapies.

Gregg Szabo, Senior Vice President, Global HIV Marketing at MSD, said the company is pleased to work with Aurobindo Pharma and other generic manufacturers through voluntary licensing agreements. He noted that the early agreements will help governments, healthcare organisations and manufacturers prepare for large-scale access following regulatory approvals.

Strategic Importance for Aurobindo Pharma

The agreement strengthens Aurobindo Pharma's global portfolio in generic pharmaceuticals while expanding its presence in infectious disease therapies.

By securing manufacturing rights ahead of regulatory approval, the company will be better positioned to begin commercial production more quickly once approvals are received. Early planning may also help improve manufacturing readiness and supply chain efficiency for eligible markets.

Key Highlights

Parameter	Details
Company	Aurobindo Pharma Ltd.
Partner	MSD
Agreement	Non-exclusive voluntary licence
Royalty	Royalty-free
Product	Generic Alimtravir
Markets Covered	129 LMICs
Stage	Before Phase 3 trial completion
Commercial Supply	Subject to regulatory approvals

What agreement has Aurobindo Pharma signed with MSD?

Aurobindo Pharma has signed a non-exclusive, royalty-free voluntary licensing agreement with MSD to manufacture and supply generic alimtravir across 129 eligible low- and middle-income countries.

What is alimtravir?

Alimtravir is an HIV prevention medicine currently progressing through clinical development. Commercial supply under the agreement will begin only after receiving the required regulatory approvals.

Why is this licensing agreement important?

The agreement was signed before the completion of Phase 3 clinical trial enrolment, allowing manufacturers to begin preparing production and supply plans well ahead of potential regulatory approvals.

Is the licence royalty-free?

Yes. MSD has granted Aurobindo Pharma a royalty-free voluntary licence, allowing the company to manufacture and supply generic alimtravir within the agreed territories.

Which countries are covered under the agreement?

The agreement covers 129 low- and middle-income countries (LMICs) that are eligible under the voluntary licensing programme.