Several pharma/biotech companies are keen to acquire candidates
in pipeline stages thereby saving cost and time involved in
Israel-based biopharmaceutical company
RedHill Biopharma Ltd.
) recently entered into a license agreement with Germany-based
As per the terms of the agreement, RedHill acquired the
exclusive development and commercialization rights to oncology
candidate Mesupron. The agreement excluded the territories of
China, Hong Kong, Taiwan and Macao.
RedHill will make an upfront payment of $1 million to Wilex
along with potential tiered royalties on net revenues, ranging from
mid-teens to 30%. RedHill will be responsible for all development,
regulatory and commercialization activities related to
We note that Wilex was evaluating Mesupron, a urokinase-type
plasminogen activator (uPA) inhibitor, for the treatment of
pancreatic, gastric, breast and prostate cancers. The company had
completed phase II studies on Mesupron for both pancreatic cancer
and metastatic breast cancer. The phase II studies established the
candidate's safety and tolerability profile.
The acquisition will further broaden RedHill's long pipeline
which includes RHB104 for the treatment of Crohn's disease (phase
III), RHB-105 - an oral combination therapy for Helicobacter pylori
infection (phase III study), RHB-103 for acute migraines (NDA under
review in the U.S.), RHB102 (oral pill formulation of ondansetron
for the prevention of nausea and vomiting, in advanced development
stages for multiple indications).
RedHill Biopharma carries a Zacks Rank #3 (Hold). Some
better-ranked stocks in the broader healthcare sector include
). While Regeneron Pharma carries a Zacks Rank #1 (Strong Buy),
Shire and Allergan hold a Zacks Rank #2 (Buy).
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