LONDON, April 9, 2019 /PRNewswire/ -- ReNeuron Group plc
(AIM: RENE), a UK-based global leader in the development of
cell-based therapeutics, is pleased to announce that it has signed
an exclusive licence agreement ("the Agreement") with Shanghai
Fosun Pharmaceutical Industrial Development Co., Ltd., a subsidiary
of Shanghai Fosun Pharmaceutical (Group) Co., Ltd. ("Fosun
Pharma"), for the development, manufacture and commercialisation of
ReNeuron's CTX and hRPC cell therapy programmes in the People's Republic of China ("China").
Fosun Pharma is a leading healthcare group in China with extensive healthcare business
interests worldwide. It is listed on both the Shanghai Stock
Exchange and the Hong Kong Stock Exchange.
Under the terms of the Agreement, Fosun Pharma will fully fund
the development of ReNeuron's CTX and hRPC cell therapy programmes
in China, including clinical
development and subsequent commercialisation activities. Fosun
Pharma has also been granted rights to manufacture the licensed
products in China.
ReNeuron will receive £6.0 million (US$7.9 million) on entering into the Agreement,
up to £6.0 million (US$7.9 million)
in near-term operational milestones and up to £8.0 million
(US$10.5 million) in future
regulatory milestone payments. In addition, post-launch
profit threshold milestone payments are due at a rate of 5% of
annual net profits derived from the licensed products in the year
the relevant net profit milestones are exceeded, leading to total
estimated milestone payments of £80.0 million (US$104.8 million) provided all milestones and
profit thresholds are successfully met.
ReNeuron will also receive tiered royalties at rates between 12%
and 14% on sales of the licensed products in the Chinese market.
The Company will be responsible for supplying CTX and hRPC cells to
Fosun until technical transfer activities have been completed.
Yifang Wu, President &
Chief Executive Officer of Fosun Pharma, said:
"We are very honored to collaborate with ReNeuron, one of the
leading cell-based therapeutics companies worldwide at clinical
stage. The licensed products and unique stem cell platforms will
bring a lot of strategic synergies with our current business,
addressing huge unmet needs in the Chinese market. Regenerative
Medicine is one of the most advanced areas with various
cutting-edge technologies. The collaboration with ReNeuron will
contribute to the strategic leading position of Fosun Pharma in
this area in China, and also help
us to enrich the pipelines for severe disease medical
solutions."
Olav Hellebø, Chief Executive Officer of ReNeuron,
said:
"We are delighted to partner our cell therapy programmes with
Fosun Pharma, one of China's
largest and most distinguished healthcare companies. This agreement
furthers our core strategy to build shareholder value through the
clinical development and commercialisation of our cell therapy
programmes. China represents
a significant market opportunity for our products and we look
forward to working with Fosun Pharma to ultimately bring these
treatments to the many patients in China who may benefit from them."
This announcement contains inside information. The person
responsible for arranging for the release of this announcement on
behalf of the Company is Olav Hellebø, Chief Executive
Officer.
About Fosun
Fosun Pharma is a company incorporated in
the People's Republic of China,
the shares of which have been listed on the Shanghai Stock Exchange
since 1998 and the Hong Kong Stock Exchange since 2012.
Fosun Pharma is principally engaged in the development,
manufacture and sale of pharmaceutical products and medical
equipment, the import and export of medical equipment, healthcare
services and the provision of related and other consulting services
and investment management. Fosun Pharma always regards
innovation as the driving force for its business growth,
continuously optimising its pharmaceutical R&D system that
integrates biosimilars and innovative drugs, its innovative
chemical drugs platform, biologics platform, high-value generic
drugs platform and T cell-therapy platform, and establishing Fosun
Pharma as a leading provider of healthcare products and
services.
About ReNeuron
ReNeuron is a global leader in
cell-based therapeutics, harnessing its unique stem cell
technologies to develop 'off the shelf' stem cell treatments,
without the need for immunosuppressive drugs. The Company's
lead clinical-stage candidates are in development for the
blindness-causing disease, retinitis pigmentosa, and for disability
as a result of stroke. ReNeuron is also advancing its
proprietary exosome technology platform as a potential delivery
system for drugs that would otherwise be unable to reach their site
of action. ReNeuron's shares are traded on the London AIM
market under the symbol RENE.L. For further information visit
www.reneuron.com.
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SOURCE ReNeuron Group plc