TORONTO, Ontario--(BUSINESS WIRE)--Antibe Therapeutics Inc. (“Antibe”) (TSXV:ATE, OTCQB:ATBPF), a leader in developing safer therapeutics for pain and inflammation, today announced that it has entered into an exclusive licensing agreement with Kwang Dong Pharmaceutical Co., Ltd. ("Kwang Dong") for the development and commercialization of Antibe’s lead drug, ATB-346, in South Korea (the “Region”). Kwang Dong is a major pharmaceutical company in the Region, with net sales in excess of US$600 million and over 500 sales representatives.
Under the terms of the agreement, Antibe is entitled to receive C$13 million in non-dilutive development and commercial milestone payments, including an upfront payment of C$1.3 million, and a double-digit royalty on net sales in the Region. South Korea represents approximately 2% of the global pharmaceutical market.
"Kwang Dong's established presence in South Korea and strong marketing capabilities make them an ideal partner for ATB-346," remarked Dan Legault, CEO of Antibe. “This is just one step in our ongoing strategy to create a global presence through selective partnerships. We will continue to identify strategic partners of this calibre in an effort to fully unlock and maximize value for shareholders and are in conversations for similar licensing transactions in other geographies. Furthermore, this deal represents additional third party validation of both the science and intrinsic value of our H2S technology. With the upcoming Phase 2 dose-ranging, efficacy study already fully funded, the non-dilutive proceeds from this deal will support additional development activities as we work towards bringing our pipeline of novel NSAIDs to market.”
"We are delighted to add ATB-346 to our development pipeline," commented Sung-Won Choi, CEO of Kwang Dong. "We believe ATB-346 has the potential to be a next generation therapy for pain and inflammation and look forward to working with Antibe in developing it for the South Korean market.”
ATB-346 is a novel anti-inflammatory drug, designed to spare the gastrointestinal (“GI”) tract of the ulcers and bleeding normally associated with non-steroidal anti-inflammatory drugs (“NSAIDs”). Antibe recently completed a Phase 2B study for ATB-346 that demonstrated unequivocal superiority in GI safety compared to naproxen, the most prescribed NSAID in the United States. Antibe will be commencing a Phase 2B dose-ranging, efficacy study this month which will include two components. The “metabolism protocol” is anticipated to conclude in Q4 2018 and a top-line data read-out from the “efficacy protocol” is expected in Q2 2019.
MedCI LLC, a global business development consulting firm headquartered in Santa Clara, California, served as an advisor on the transaction.
About Antibe Therapeutics Inc.
Antibe develops safer medicines for pain and inflammation. Antibe’s technology involves linking a hydrogen sulfide-releasing molecule to an existing drug to produce a patented, improved medicine. Antibe’s lead drug, ATB-346, targets the global need for a safer, non-addictive drug for chronic pain and inflammation. ATB-352, the second drug in Antibe’s pipeline, targets the urgent global need for a non-addictive analgesic for treating severe acute pain, while ATB-340 is a GI-safe derivative of aspirin. www.antibethera.com.
Antibe’s subsidiary, Citagenix Inc. (“Citagenix”), is a leader in the sales and marketing of tissue regenerative products servicing the orthopedic and dental marketplaces. Since its inception in 1997, Citagenix has become an important source of knowledge and experience for bone regeneration in the Canadian medical device industry. Citagenix is active in 15 countries, operating in Canada through its direct sales teams, and internationally via a network of distributor partnerships. www.citagenix.com.
About Kwang Dong Pharmaceutical Co., Ltd.
Kwang Dong Pharmaceutical Co., Ltd. (“Kwang Dong”), based in Seoul, Korea, is a leading Korean company focused on the development, manufacturing, and marketing of pharmaceuticals and healthy food products. Kwang Dong reported approximately US$600 million in net sales in 2017 and has more than 500 sales representatives in Korea. http://eng.ekdp.com.
Forward Looking Information
This news release includes certain forward-looking statements, which may include, but are not limited to, the growth of product sales, engaging new distributors and independent representatives and the licensing and development of drugs and medical devices. Any statements contained herein that are not statements of historical facts may be deemed to be forward-looking, including those identified by the expressions "will", "anticipate", "believe", "plan", "estimate", "expect", "intend", "propose" and similar expressions. Forward-looking statements involve known and unknown risks and uncertainties that could cause actual results, performance, or achievements to differ materially from those expressed or implied in this news release. Factors that could cause actual results to differ materially from those anticipated in this news release include, but are not limited to, the Company’s ability to secure additional financing, its ability to execute its business strategy and successfully compete in the market, and risks associated with drug and medical device development generally. Antibe Therapeutics Inc. assumes no obligation to update the forward-looking statements or to update the reasons why actual results could differ from those reflected in the forward-looking statements except as required by applicable law.