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ABVC BioPharma Receives $50,000 in Incremental Licensing Fees, Boosting Total Payments to $346,000 From Its Three Strategic Partners

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ABVC BioPharma has received an additional $50,000 in licensing fees from AiBtl BioPharma Inc., bringing the total payments from strategic partners to $346,000. This payment is part of a broader agreement related to ABVC's psychiatric disorder pipeline, which includes treatments for Major Depressive Disorder (MDD) and Attention Deficit Hyperactivity Disorder (ADHD). The pipeline is valued at $667M by third-party evaluators.

ABVC has received 23M AiBtl shares as part of the first milestone and will obtain royalties up to $100M after product launch. The company is positioned in growing markets, with the global MDD market projected to reach $14.96 billion by 2032 and the global ADHD treatment market expected to grow at a CAGR of 7.3% through 2032. The global botanical drug market is forecasted to reach $3.2 billion by 2030 with a CAGR of 39%.

ABVC BioPharma ha ricevuto un ulteriore $50.000 in diritti di licenza da AiBtl BioPharma Inc., portando il totale dei pagamenti ricevuti dai partner strategici a $346.000. Questo pagamento fa parte di un accordo più ampio relativo al portafoglio di terapie per i disturbi psichiatrici di ABVC, che include trattamenti per il Disturbo Depressivo Maggiore (DDM) e il Disturbo da Deficit di Attenzione/Iperattività (ADHD). Il valore del portafoglio è stimato in $667 milioni da valutatori terzi.

ABVC ha ricevuto 23 milioni di azioni AiBtl come parte del primo traguardo e otterrà royalties fino a $100 milioni dopo il lancio del prodotto. L'azienda si posiziona in mercati in crescita, con il mercato globale del DDM previsto raggiungere $14,96 miliardi entro il 2032 e il mercato globale dei trattamenti per l'ADHD con una crescita attesa di CAGR del 7,3% fino al 2032. Il mercato globale dei farmaci botanici è previsto raggiungere $3,2 miliardi entro il 2030 con un CAGR del 39%.

ABVC BioPharma ha recibido $50,000 en tarifas de licencia de AiBtl BioPharma Inc., lo que eleva los pagos totales de los socios estratégicos a $346,000. Este pago forma parte de un acuerdo más amplio relacionado con la cartera de tratamientos para trastornos psiquiátricos de ABVC, que incluye tratamientos para Trastorno Depresivo Mayor (TDM) y Trastorno por Déficit de Atención e Hiperactividad (TDAH). La cartera tiene un valor de $667 millones según evaluadores externos.

ABVC ha recibido 23 millones de acciones de AiBtl como parte del primer hito y obtendrá regalías de hasta $100 millones tras el lanzamiento del producto. La empresa se posiciona en mercados en crecimiento, con el mercado global del TDM proyectado alcanzar $14.96 mil millones para 2032 y el mercado global de tratamientos para TDAH se espera que crezca a un CAGR del 7.3% hasta 2032. Se prevé que el mercado global de medicamentos botánicos alcance $3.2 mil millones para 2030 con un CAGR del 39%.

ABVC BioPharma는 AiBtl BioPharma Inc.로부터 추가로 $50,000의 라이센스 수수료를 받았으며, 이로써 전략적 파트너로부터의 총 지급액은 $346,000에 이릅니다. 이 지급액은 ABVC의 정신 질환 치료 파이프라인과 관련된 더 넓은 계약의 일환으로, 주요 우울 장애(MDD) 및 주의력 결핍 과다 행동 장애(ADHD) 치료를 포함합니다. 이 파이프라인의 가치는 제3자 평가자에 의해 $667M으로 평가됩니다.

ABVC는 첫 번째 이정표의 일부로 2300만 AiBtl 주식을 받았으며, 제품 출시 후 최대 $100M의 로열티를 받을 예정입니다. 이 회사는 성장하는 시장에 자리 잡고 있으며, 글로벌 MDD 시장은 2032년까지 $14.96 billion에 이를 것으로 예상되며, 글로벌 ADHD 치료 시장은 2032년까지 7.3%의 CAGR로 성장할 것으로 예상됩니다. 글로벌 식물 약물 시장은 2030년까지 $3.2 billion에 이를 것으로 예상되며, CAGR은 39%입니다.

ABVC BioPharma a reçu un montant supplémentaire de $50,000 en frais de licence de la part d'AiBtl BioPharma Inc., portant le total des paiements des partenaires stratégiques à $346,000. Ce paiement fait partie d'un accord plus large lié à la gamme de traitements pour les troubles psychiatriques d'ABVC, qui inclut des traitements pour le Trouble Dépressif Majeur (TDM) et le Trouble du Déficit de l'Attention avec Hyperactivité (TDAH). La valeur de la pipeline est estimée à $667 millions par des évaluateurs tiers.

ABVC a reçu 23 millions d'actions AiBtl dans le cadre du premier jalon et obtiendra des redevances pouvant aller jusqu'à $100 millions après le lancement du produit. L'entreprise se positionne sur des marchés en croissance, le marché mondial du TDM devant atteindre $14,96 milliards d'ici 2032 et le marché mondial des traitements du TDAH devant croître à un TCAC de 7,3% d'ici 2032. Le marché mondial des médicaments d'origine végétale devrait atteindre $3,2 milliards d'ici 2030 avec un TCAC de 39%.

ABVC BioPharma hat von AiBtl BioPharma Inc. zusätzliche 50.000 $ an Lizenzgebühren erhalten, wodurch die Gesamtzahlungen von strategischen Partnern auf 346.000 $ steigen. Diese Zahlung ist Teil eines umfassenderen Vertrags, der sich auf ABVCs Pipeline für psychische Störungen bezieht, die Behandlungen für Majore Depressive Störung (MDD) und Aufmerksamkeitsdefizit-Hyperaktivitätsstörung (ADHS) umfasst. Die Pipeline wird von Dritten mit 667 Millionen $ bewertet.

ABVC hat 23 Millionen AiBtl-Aktien als Teil des ersten Meilensteins erhalten und wird nach der Produkteinführung bis zu 100 Millionen $ an Lizenzgebühren erhalten. Das Unternehmen ist in wachsenden Märkten positioniert, wobei der globale MDD-Markt voraussichtlich bis 2032 14,96 Milliarden $ erreichen wird und der globale ADHS-Behandlungsmarkt voraussichtlich mit einem CAGR von 7,3% bis 2032 wachsen wird. Der globale Markt für pflanzliche Arzneimittel wird voraussichtlich bis 2030 3,2 Milliarden $ erreichen und ein CAGR von 39% aufweisen.

Positive
  • Received additional $50,000 in licensing fees, totaling $346,000 from strategic partners
  • Psychiatric disorder pipeline valued at $667M by third-party evaluators
  • Received 23M AiBtl shares as part of first milestone
  • Potential for up to $100M in royalties after product launch
  • Positioned in growing markets: MDD, ADHD, and botanical drugs
Negative
  • None.

Insights

The $50,000 incremental licensing fee received by ABVC BioPharma is a positive development, albeit modest in scale. This brings the total licensing fees from strategic partners to $346,000, which is encouraging for a small-cap company with a market capitalization of only $6.78 million. The company's psychiatric disorder pipeline, valued at $667 million by third-party evaluators, suggests significant potential upside if successfully developed.

However, investors should note the stark contrast between the current market valuation and the projected pipeline value. The agreement with AiBtl BioPharma, including 23 million shares and potential royalties up to $100 million, indicates a structured deal that could provide long-term value. The growing markets for MDD and ADHD treatments, with projected CAGRs of 2.8% and 7.3% respectively, offer a favorable backdrop for ABVC's development efforts.

While these licensing fees and market projections are promising, the company's ability to execute and bring products to market remains crucial. The substantial gap between current valuation and potential future value suggests high risk but also high reward potential for investors willing to bet on ABVC's clinical success.

FREMONT, Calif., Oct. 22, 2024 (GLOBE NEWSWIRE) -- ABVC BioPharma, Inc. (NASDAQ: ABVC), a clinical-stage biopharmaceutical company focused on innovative treatments in ophthalmology, CNS (central nervous system), and oncology/hematology, today announced the receipt of an additional $50,000 in licensing fees from AiBtl BioPharma Inc. With this payment, ABVC has received a total of $346,000 in licensing fees from its strategic partners, supporting our partner's belief in our mission. ABVC has received 23M AiBtl shares as part of the first milestone of the licensing fees and will obtain royalties up to $100M after the product launches.

The payment, tied to ABVC's psychiatric disorder pipeline, which includes treatments for Major Depressive Disorder (MDD) and Attention Deficit Hyperactivity Disorder (ADHD), is part of a broader agreement with AiBtl BioPharma. The MDD and ADHD pipeline, valued at $667M by third-party evaluators, continues to gain momentum as both companies advance their collaborative efforts towards discussion with big pharma for out-licensing and initiating the plan for the GAP-certified temperature-controlled farm.

"We are thrilled to see this consistent financial backing from our partners, reflecting confidence in the potential of our therapeutic programs," said Uttam Patil, Ph.D., Chief Executive Officer of ABVC. "The additional $50,000 from AiBtl reinforces the trust in ABVC’s vision of developing breakthrough treatments."

"This milestone payment marks the continuation of a long-term strategic collaboration, reinforcing our commitment to advancing innovative CNS treatment solutions. These payments help to validate the progress of our therapeutic pipeline and reflect our confidence in our ability to deliver value for our investors. We believe that our ongoing efforts in this space will generate returns and further strengthen our position in the biopharmaceutical market," said Russman Jaimes, Chief Executive Officer of AiBtl.

Driving Growth in Expanding Markets

ABVC BioPharma is strategically positioned in growing markets. The global MDD market is projected to grow from $11.51 billion in 2022 to $14.96 billion by 2032, with a steady CAGR of 2.8%.[1] The global ADHD treatment market is also growing, expected to increase from $15.23 billion in 2022 at a CAGR of 7.3% through 2032.[2] Additionally, the global botanical drug market, valued at $163 million in 2021, is forecasted to experience an impressive CAGR of 39% through 2030, reaching $3.2 billion.[3]

For more information about ABVC and its subsidiaries, stay updated on the latest updates or visit https://abvcpharma.com. ABVC urges its shareholders to sign up on the Company's website for the latest news alerts; visit https://abvcpharma.com/?page_id=17707

About ABVC BioPharma & Its Industry

ABVC BioPharma is a clinical-stage biopharmaceutical company with an active pipeline of six drugs and one medical device (ABV-1701/Vitargus®) under development. For its drug products, the Company utilizes in-licensed technology from its network of world-renowned research institutions to conduct proof-of-concept trials through Phase II of clinical development. The Company's network of research institutions includes Stanford University, University of California at San Francisco, and Cedars-Sinai Medical Center. For Vitargus®, the Company intends to conduct global clinical trials through Phase III.

Forward-Looking Statements

This press release contains "forward-looking statements." Such statements may be preceded by the words "intends," "may," "will," "plans," "expects," "anticipates," "projects," "predicts," "estimates," "aims," "believes," "hopes," "potential," or similar words. Forward-looking statements are not guarantees of future performance, are based on certain assumptions, and are subject to various known and unknown risks and uncertainties, many of which are beyond the Company's control, and cannot be predicted or quantified, and, consequently, actual results may differ materially from those expressed or implied by such forward-looking statements. None of the outcomes expressed herein are guaranteed. Such risks and uncertainties include, without limitation, risks and uncertainties associated with (i) our inability to manufacture our product candidates on a commercial scale on our own, or in collaboration with third parties; (ii) difficulties in obtaining financing on commercially reasonable terms; (iii) changes in the size and nature of our competition; (iv) loss of one or more key executives or scientists; and (v) difficulties in securing regulatory approval to proceed to the next level of the clinical trials or to market our product candidates. More detailed information about the Company and the risk factors that may affect the realization of forward-looking statements is set forth in the Company's filings with the Securities and Exchange Commission (SEC), including the Company's Annual Report on Form 10-K and its Quarterly Reports on Form 10-Q. Investors are urged to read these documents free of charge on the SEC's website at http://www.sec.gov. The Company assumes no obligation to publicly update or revise its forward-looking statements as a result of new information, future events or otherwise.

This press release does not constitute an offer to sell, or the solicitation of an offer to buy any of the Company's securities, nor shall such securities be offered or sold in the United States absent registration or an applicable exemption from registration, nor shall there be any offer, solicitation or sale of any of the Company's securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such state or jurisdiction.

Contact:
Dr. Uttam Patil
Email: uttam@ambrivis.com

[1] https://www.futuremarketinsights.com/reports/major-depressive-disorder-treatment-market#:~:text=The%20major%20depressive%20disorder%20(MDD,US%24%2011.51%20billion%20in%202022
[2]  https://www.polarismarketresearch.com/industry-analysis/attention-deficit-hyperactivity-disorder-market
[3] https://straitsresearch.com/report/botanical-drugs-market


FAQ

What is the total amount of licensing fees ABVC BioPharma (ABVC) has received from its strategic partners?

ABVC BioPharma has received a total of $346,000 in licensing fees from its strategic partners, including the recent $50,000 payment from AiBtl BioPharma Inc.

What is the value of ABVC BioPharma's (ABVC) psychiatric disorder pipeline?

ABVC BioPharma's psychiatric disorder pipeline, which includes treatments for Major Depressive Disorder (MDD) and Attention Deficit Hyperactivity Disorder (ADHD), is valued at $667M by third-party evaluators.

How many AiBtl shares has ABVC BioPharma (ABVC) received as part of the licensing agreement?

ABVC BioPharma has received 23M AiBtl shares as part of the first milestone of the licensing fees.

What is the projected growth of the global Major Depressive Disorder (MDD) market according to ABVC BioPharma's (ABVC) press release?

The global MDD market is projected to grow from $11.51 billion in 2022 to $14.96 billion by 2032, with a steady CAGR of 2.8%.

ABVC BioPharma, Inc.

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