Oasmia and Abbott have entered into an exclusive global collaboration agreement with respect to Oasmia's two leading animal health product candidates, Paccal® Vet and Doxophos® Vet. The agreement significantly expands the nature and scope of the initial collaboration that was initially entered into in 2009 between Oasmia and Abbott regarding these products.
UPPSALA, Sweden, Jan. 7, 2013 (GLOBE NEWSWIRE) --
Under the terms of the expanded agreement, Abbott Animal Health will obtain exclusive license and distribution rights to the products for essentially the entire world. In return, Oasmia will receive an upfront payment and is eligible to receive additional milestone payments of up to $21.5M subject to Oasmia meeting various product development and sales milestones. In addition, in the event either or both of the products are commercialized, Oasmia shall receive tiered royalties on net sales. Oasmia will continue to fund research, development and manufacture of Paccal® Vet and Doxophos® Vet.- I am very pleased that we have reached this expanded agreement between our companies. We will now have one world-class partner for essentially the entire global canine oncology market. In addition to the well-established markets in the industrialized countries, we believe that there is great future market potential in developing countries as medical innovation allows dedicated owners to treat emerging health issues in their beloved companion animals, said Julian Aleksov, chief executive officer, Oasmia Pharmaceutical. The agreement does not include the rights to Paccal® Vet in Russia, Japan and the Commonwealth of Independent States (CIS), or the rights to Doxophos® Vet in Russia and the CIS. Cancer is the leading cause of canine disease-related deaths, with up to 3 million new cases diagnosed annually worldwide. Cancer accounts for nearly 50 percent of all deaths in dogs 10 years of age or older. Cancer is seen more often in some breeds, notably the Golden Retriever, Boxer, Greyhounds and Bernese Mountain dogs. While environmental factors play a role, the incidence of cancer seen in breeds such as these suggests a certain genetic predisposition to certain types of cancers. Researchers are studying both canine and human genomes to unlock the genetics of cancer.