Highlights
- Invion and RMW Cho Group have executed a conditional agreement for the expansion of existing arrangements to co-develop Photosoft™ technology relating infectious diseases (ID indications).
- As per the agreement, Invion will gain exclusive distribution rights in the US, Canada and Hong Kong.
- IVX will pay AU$2.5 million to RMW for prior development expenses made by RMW in Photosoft™ technology concerning these indications and the mentioned territories.
Life-science company Invion Limited (ASX:IVX) has entered into a conditional agreement with RMW Cho Group Limited to expand existing arrangements for the co-development of Photosoft™ technology in infectious diseases (ID Indications). As per the agreement, Invion will have Photosoft™ technology distribution rights in the United States of America, Canada and Hong Kong in relation to ID Indications.
Invion is focused on evolving PhotosoftTM technology as a next-generation Photodynamic Therapy (PDT). The therapy offers an alternative treatment option aimed at achieving 100% tumour regression and long-lasting remission. Non-toxic photosensitisers and light is utilised during the therapy to selectively kill cancer cells and stimulate an anti-cancer immune response.
The ASX-listed company holds the exclusive Australia, New Zealand and Asia Pacific (excluding China, Macau, Taiwan, Japan and South Korea) licence rights to PhotosoftTM technology for all cancer indications. Its licence rights extend to Asia-Pacific (except Greater China) for atherosclerosis and ID indications.
Key metrics of the agreement
Invion has agreed to pay AU$2.5 million to RMW for prior development expenses related to Photosoft™ technology that has been spent by RMW in relation to ID Indications.
Under the agreement, Invion and RMW have agreed that funding for any clinical and non-clinical work in future will be shared between them. Invion will pay 25%, while RMW will contribute 75% of the cost of any future non-clinical work. For any clinical work in the future, Invion and RMW will contribute 75% and 25% of the expenses, respectively.
Also, both the companies involved will continue to work as per the existing research & development (R&D) services agreement, whereby RMW provides funds for all the research work and clinical trials focused on cancer in Australia and New Zealand.
The latest release also mentions that Invion may (at its discretion) choose to contribute additional AU$1 million to advance the development of Photosoft™ technology in relation to atherosclerosis for the same territories. This will further expand Invion’s licence and distribution rights to include the US, Canada and Hong Kong for atherosclerosis as well.
Data source: IVX update
The proposed transaction is subject to approval by Invion shareholders for the purposes of ASX listing rule 10.1 and all other purposes on or before 31 May 2023.
IVX shares were trading at AU$0.008 midday on 08 February 2023.