) recently amended its existing license and supply agreements
with Ovamed GmbH. Coronado now has the manufacturing rights to
its lead product TSO (Trichuris suis ova or CNDO-201) from Ovamed
for North America, South America and Japan.
Although Coronado has the rights to TSO in its licensed
territory, Ovamed will be retaining its manufacturing rights
outside Coronado's territory. Ovamed's exclusive supply rights
for TSO will be terminated soon after Coronado's planned
manufacturing facility in Woburn, MA, is operational. The new
manufacturing facility's build out and site preparation is
expected to commence soon.
The new manufacturing site will ensure production of phase III
supplies of TSO throughout the year. Ovamed will provide
assistance in building the manufacturing facility and will
continue to provide with clinical supplies to Coronado until the
new facility is ready.
Coronado will be paying a total of $1.5 million in three equal
installments in the years 2014, 2015 and 2016 as per the
amendment. This payment is in exchange of the product supply
payments that would have been payable to Ovamed for exclusive
supplies and certain fees for product manufactured and sold by
In March 2012, Coronado entered into an agreement with Falk
and Ovamed to develop TSO for the treatment of Crohn's disease.
In August 2012, a phase II study on TSO was initiated in the US
in patients suffering from Crohn's disease. Coronado expects to
complete the phase II study in the second half of 2013.
We remind investors that the Crohn's disease market currently
has players like
Coronadocurrently carries a Zacks #2 Rank (Buy). Meanwhile
other pharma stocks such as
) carry a Zacks #1 Rank (Strong Buy).
ABBOTT LABS (ABT): Free Stock Analysis Report
CORONADO BIOSCI (CNDO): Free Stock Analysis
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