(Updated press release with information about transaction
advisor)
- IOVaxis buys an exclusive option to license the TG01/02 cancer
vaccines for China, Hong Kong, Macau and Singapore, for a fee of USD 250.000
- If exercised, the license has a potential value of up to
USD 100 million in development and
commercial milestones, in addition to double-digit royalties
- The parties will negotiate a full License Agreement based on
pre-agreed terms and principles in the Option Agreement
OSLO, Norway, Jan. 8, 2020 /PRNewswire/ -- Targovax ASA
(OSE: TRVX), a clinical stage immuno-oncology company developing
oncolytic viruses and cancer vaccines to target hard-to-treat solid
tumors, today announces that it has entered into an exclusive
option agreement with IOVaxis Therapeutics of Nantong, China, for clinical development and licensing
of the Targovax mutant RAS vaccines TG01 and TG02 in China, Hong
Kong, Macau and
Singapore.
IOVaxis, a spin-off from ImmuOn Therapeutics, has secured an
exclusive option to develop and license the TG01 and TG02 mutant
RAS neoantigen vaccines in the above mentioned territories. The
option can be exercised into an exclusive license by the earlier of
i) the first regulatory approval to start a clinical trial in the
territory, or ii) one year from the effective date of the Option
Agreement. IOVaxis will pay Targovax USD
250.000 for this exclusive option. The milestone payment for
the exercise of the option to license TG01/02 is USD 3 million.
Under the Option Agreement, IOVaxis and Targovax will jointly
define a development plan in the territory, and IOVaxis will be
responsible for all local regulatory filings and be the sponsor of
clinical trials. The full License Agreement remains to be
finalized, but the parties have pre-agreed the key commercial and
operational terms in the Option Agreement. If exercised, the total
potential development and commercial milestones for the TG01/02
license may reach up to USD 100
million, plus tiered royalties on net sales up to mid double
digits.
Locust Walk served as transaction advisor to Targovax.
Øystein Soug, CEO of Targovax, said: "The industry is
finally realizing the potential value of mutant RAS as a target in
cancer and we continue to believe that a vaccine is the optimal
therapeutic approach to deal with this target, hence we are
thrilled to secure this agreement with IOVaxis. In IOVaxis we have
found an ideal partner committed to neoantigen vaccine development
in China, the second largest
pharmaceutical market in the world. This is both a commercially
attractive arrangement for Targovax and will also enable new TG
studies to further demonstrate the clinical benefit of our mutant
RAS vaccination concept. Therefore, this is an important step for
the TG program and Targovax."
Dr. John Wang, CEO of IOVaxis,
said: "We are excited to enter into this collaboration with
Targovax. IOVaxis is a pioneer in neoantigen cancer vaccine
development in China, and we have
been searching for suitable shared neoantigen vaccine products to
in-license for regional development. Mutant RAS solid tumors are
prevalent and a high unmet medical need in China, particularly in pancreatic and
colorectal cancers, and we therefore believe the TG01 and TG02
vaccines have significant local commercial potential and can
benefit a large number of patients".
For further information, please contact:
Renate Birkeli, Investor
Relations
Phone: +47-922-61-624
Email: renate.birkeli@targovax.com
Media and IR enquires:
Andreas Tinglum
Corporate Communications (Norway)
Phone: +47-9300-1770
Email: andreas.tinglum@corpcom.no
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