Oncolytics Biotech, Inc. (USA) (OTCMKTS:ONCYF) ended up +35% Friday on a licensing deal with Adlai Nortye. The deal will target Asia through the commercialization of REOLYSIN, Which intravenously delivers immuno-oncolytic virus that activates the innate and adaptive immune systems to turn ‘cold’ tumors ‘hot’.
Under the agreement terms, Adlai will have exclusive development and commercialization rights to REOLYSIN in China , Hong Kong , Macau , Singapore , South Korea and Taiwan. The deal is reportedly worth $86.6M. ONCYF will receive an upfront licensing fee and milestone payments to support the phase 3 registration study in metastatic breast cancer (mBC) of USD $21.2 million, and is eligible to receive up to an additional $65.4 million upon achievement of clinical, regulatory and commercialization milestones.
Oncolytics Biotech, Inc. (USA) (OTCMKTS:ONCYF) is a development-stage company. The Company is focused on the development of REOLYSIN, its cancer therapeutic. The Company’s clinical program is made up of a registration program that includes muscle-invasive bladder cancer and glioma cancer, over six randomized Phase II clinical trials and approximately six other investigative clinical trials. The Company focuses on the registration of REOLYSIN in approximately two indications, including the neoadjuvant treatment of muscle-invasive bladder cancer and the treatment of glioblastoma. The Company has conducted a single arm United States Phase II non-small cell lung cancer (NSCLC) trial and a single arm United States Phase II pancreatic cancer trial for REOLYSIN. The Company is also engaged in conducting a Phase Ib trial for REOLYSIN and chemotherapy in combination with pembrolizumab in its Checkpoint Inhibitor Program.
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“Adlai Nortye has a top-tier clinical, regulatory and commercial team with global experience, that will be able to gain significant regional exposure for REOLYSIN upon potential approval, following our phase 3 study in HR+/HER2- metastatic breast cancer,” said Dr. Matt Coffey , President and CEO of Oncolytics Biotech. ” China is the fastest growing pharmaceutical market in the world, and we are delighted to be able to unlock value for Oncolytics and our shareholders through this regional partnership. We’re very happy this was able to happen as expediently as it did following our end-of-phase two meeting with the FDA. On the back of that meeting we also have escalated our efforts to find a suitable global or larger regional partner, in regions such as Europe or Japan, and look forward to providing updates on our progress in the first half of 2018.”
“With its impressive clinical data coupled with its unique and novel mechanism, REOLYSIN will be an instrumental component in furthering the development of our oncology pipeline,” said Carsten Lu, CEO of Adlai Nortye. “It immediately makes Adlai Nortye a late stage biotechnology company and REOLYSIN itself becomes our lead product. Given its potential in multiple oncological indications and its ability to be used in combination with multiple chemotherapies and immunotherapies, REOLYSIN will help to broaden future therapies made available by Adlai Nortye and advance us towards commercialization.”
Oncolytics Biotech, Inc. (USA) (OTCMKTS:ONCYF) recently had a favorable End-of-Phase 2 Meeting with the United States Food and Drug Administration that outlined a single, 400-patient phase 3 study focused on HR+/HER2- patients. We will be updating readers as soon. For continuing coverage on shares of $ONCYF stock, as well as our other breakout picks, sign up for our free newsletter today and get our next hot stock pick!
Disclosure: we hold no position in $ONCYF, either long or short, and we have not been compensated for this article.