ABVC BioPharma Secures $200,000 in First Cash Licensing Payment From Oncology Products Partner, Totaling $546,000 From Three Partners
Rhea-AI Summary
ABVC BioPharma (NASDAQ: ABVC) has received a $200,000 initial cash payment from OncoX BioPharma as part of a strategic licensing agreement for oncology-related products. This payment represents the first installment of a potential $5 million in licensing fees from OncoX. The company has now accumulated $546,000 in total cash payments from three strategic partners.
Under the agreement, ABVC and its subsidiaries BioLite Inc. and Rgene can each receive up to 10M OncoX shares, $5M in cash payments, and royalties up to $50M post-product launch. The partnership aims to advance breakthrough therapies in oncology, targeting a market projected to reach $393.61 billion by 2032 with a 9.20% CAGR.
Positive
- Received $200,000 initial payment from OncoX BioPharma
- Potential to receive up to $5M in licensing fees from OncoX
- Total accumulated payments of $546,000 from three strategic partners
- Each subsidiary eligible for up to 10M OncoX shares and $50M in royalties
Negative
- None.
News Market Reaction 1 Alert
On the day this news was published, ABVC gained 9.50%, reflecting a notable positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
FREMONT, Calif., Dec. 11, 2024 (GLOBE NEWSWIRE) -- ABVC BioPharma, Inc. (NASDAQ: ABVC), a clinical-stage biopharmaceutical company advancing therapeutic solutions in ophthalmology, CNS (central nervous system), and oncology/hematology, announced the receipt of a
"This initial payment signifies a pivotal moment in our partnership with OncoX, reinforcing their confidence in ABVC’s innovative pipeline," said Uttam Patil, Ph.D., Chief Executive Officer of ABVC. "It is a testament not only to their belief in the strength of our therapeutic solutions but also to the shared vision of creating impactful treatments that address current oncology challenges."
The OncoX licensing agreement highlights both companies' commitment to advancing breakthrough therapies in oncology. Wen-Pin Yen, CEO of OncoX, stated, "We are committed to increasing our payments over time, demonstrating our confidence in ABVC’s products, and fostering a long-term collaborative relationship that benefits both parties. This payment sets ABVC on a trajectory to further develop its oncology pipeline while reinforcing its competitive position within the oncology landscape."
A Growing Presence in a
ABVC BioPharma is strategically positioned to capitalize on the rapidly expanding global cancer therapeutics market, which is projected to reach
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 for PMA (pre-Market Approval).
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] which is not guaranteed.
[2] https://www.precedenceresearch.com/cancer-therapeutics-market
FAQ
How much did ABVC BioPharma receive in its first payment from OncoX BioPharma?
What is the total potential value of ABVC's licensing agreement with OncoX?
How much has ABVC BioPharma received in total from its three strategic partners?
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