Kazia Licenses Cantrixil, a Clinical-stage, First-in-class Ovarian Cancer Drug Candidate, to Oasmia Pharmacetical AB

Rhea-AI Summary

Kazia Therapeutics Limited (ASX: KZA; NASDAQ: KZIA) has entered into an exclusive worldwide license agreement with Oasmia Pharmaceutical AB for Cantrixil, a clinical-stage drug candidate for ovarian cancer. Oasmia will provide an upfront payment of US$ 4 million, with additional milestone payments of up to US$ 42 million, plus royalties on sales. The deal follows positive Phase I study results for Cantrixil, which targets chemotherapy-resistant cancer cells. Oasmia plans to initiate a Phase II trial in 2022.

Positive

• Upfront payment of US$ 4 million from Oasmia.
• Potential milestone payments of up to US$ 42 million.
• Royalties on commercial sales of Cantrixil.
• Strong clinical proof of concept established in Phase I study.

Negative

• None.

SYDNEY, March 1, 2021 /PRNewswire/ -- Kazia Therapeutics Limited (ASX: KZA; NASDAQ: KZIA), an Australian oncology-focused biotechnology company, is pleased to announce that it has entered into an exclusive worldwide license agreement with Oasmia Pharmaceutical AB (STO: OASM), an innovation-focused specialty pharmaceutical company, for Cantrixil (TRX-E-002-1), a clinical-stage, first-in-class drug candidate under development for the treatment of ovarian cancer.

Key Points

• Oasmia will assume worldwide exclusive rights to develop and commercialise Cantrixil for all indications, with an initial focus on ovarian cancer
• Under the terms of the agreement, Oasmia will make an upfront payment of
  US$ 4 million to Kazia, with contingent milestone payments of up to US$ 42 million, and double-digit royalties on commercial sales
• Oasmia is an innovative specialty pharmaceutical company, based in Stockholm, Sweden. Its lead product, Apealea® (paclitaxel micellar), is approved in Europe for adult patients with first relapse of platinum-sensitive epithelial ovarian cancer, primary peritoneal cancer, and fallopian tube cancer, and is in late-stage clinical development in the US
• Oasmia expects to commence a Phase II study of Cantrixil in ovarian cancer in 2022

Kazia CEO, Dr James Garner, commented, "Oasmia possesses deep expertise in the field of ovarian cancer, and also brings to Cantrixil a highly commercial focus, world-class formulation capabilities, and an extensive network of clinician relationships in Europe and the US. This transaction follows the release of very encouraging top-line data from the phase I study of Cantrixil late last year. Our strategy has been to seek a partner for Cantrixil's further development, and we are delighted to now pass the baton to the Oasmia team."

Dr François Martelet, CEO of Oasmia, added, "Cantrixil is an exciting addition to Oasmia's oncology pipeline and builds on our development expertise in ovarian cancer. Expanding Oasmia's portfolio of therapies and technologies is a key pillar of our transformation strategy. Acquiring rights to Cantrixil, which has established clinical proof of concept, is a major step forward in executing this strategy, and we will continue to leverage our development and partnering expertise to build our oncology pipeline."

Cantrixil (TRX-E-002-1)

Cantrixil is a proprietary formulation of the potent and selective third-generation benzopyran, TRX-E-002-1. It targets the entire spectrum of cancer cells, including chemotherapy-resistant tumour-initiating cells ('cancer stem cells') that are thought to be responsible for disease relapse.

In December 2020, Kazia announced top-line results of a Phase I open-label study (NCT02903771) conducted at sites in the US and Australia, covering both monotherapy and combination therapy in patients with persistent or recurrent ovarian, fallopian tube or primary peritoneal cancer. The Phase I study met its primary endpoints, and full data are expected to be published in a peer-reviewed scientific journal during CY2021.

Cantrixil was granted orphan designation for ovarian cancer by the US FDA in April 2015.

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SOURCE Kazia Therapeutics Ltd

FAQ

What is the licensing agreement between Kazia Therapeutics and Oasmia Pharmaceutical?

Kazia Therapeutics has licensed Cantrixil to Oasmia Pharmaceutical, granting them exclusive worldwide rights to develop and commercialize the drug.

What are the financial terms of the agreement for Cantrixil?

Under the agreement, Oasmia will pay Kazia an upfront fee of US$ 4 million, with up to US$ 42 million in milestone payments and royalties on sales.

What is Cantrixil, and what is its significance?

Cantrixil is a first-in-class drug candidate for ovarian cancer that targets chemotherapy-resistant cancer stem cells, with promising results from its Phase I study.

When does Oasmia plan to begin clinical studies for Cantrixil?

Oasmia plans to initiate a Phase II study of Cantrixil in ovarian cancer in 2022.

What were the results of Cantrixil's Phase I study?

The Phase I study of Cantrixil met its primary endpoints, and full data are expected to be published in a peer-reviewed journal in 2021.