MSHL exercises its option to inlicense the Novogen drugs:
>>WASHINGTON and SYDNEY, Australia, May 15 /PRNewswire-FirstCall/ -- Novogen Limited and Marshall Edwards, Inc. have concluded a License Agreement for MSHL to develop and commercialize the two oncology compounds NV-196 and NV-143.
NV-196 is being developed initially in oral form for pancreatic and bile duct cancer and NV-143 is targeted for the treatment of melanoma, also in oral dosage form.
Marshall Edwards, Inc. holds an option license agreement with Novogen that entitles the Company to make the first and last offer from Novogen for oncology compounds that have entered human clinical trials.
NV-196 is in phase I human testing and qualifies as an option compound. Marshall Edwards, Inc. has exercised that option on the terms now agreed. NV- 143 is in pre-clinical testing and has also now been in-licensed by MSHL.
The terms of the licenses consist of a single upfront payment to Novogen of US$1 million, a series of payments for each compound upon reaching the milestones of US Investigational New Drug (IND) approval, entering human testing at phases II and III and receipt of a New Drug Application for marketing and a royalty on sales of five per cent. Marshall Edwards, Inc. will fund the ongoing clinical programs and is responsible for the commercial development of the drugs.
Marshall Edwards, Inc., is also the licensee of the Novogen developed investigational anti-cancer drug phenoxodiol that currently is in phase II trials for ovarian and prostate cancer. The Company is concluding the protocol for phenoxodiol to enter a phase III human trial for chemotherapy resistant ovarian cancer, the development program for which the FDA has granted the Company fast track status.
The Chairman of Marshall Edwards, Inc., Professor Graham Kelly, said the in-licensing of NV-196 represented a significant addition to the anti-cancer portfolio of the Company.
"The high safety profile and effectiveness that these drugs have demonstrated in pre-clinical studies, along with our positive clinical experience with the related compound phenoxodiol, auger well for a successful clinical program," Professor Kelly said.
"The oncology world is looking for an effective series of drugs that can be targeted to specific cancers with the knowledge that they are effective and relatively safe.
"With this class of drugs we hope to be able to offer that combination of safety and effectiveness to patients," Professor Kelly added.
Marshall Edwards, Inc. (Nasdaq: MSHL - News) is a U.S. clinical development oncology company and is majority owned by Novogen, an Australian biotechnology company that is specializing in the development of therapeutics based on regulation of the sphingomyelin pathway.<<
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Remembering the 10-K saying they had funds till the end of June 2006, it seems obvious that a financing is coming. Could present a buying opportunity. The stock has been spanked hard of late, and the announcement will probably create a selling climax.
Cheers, Tuck |
