The strategic collaboration and licensing agreement recently entered into is for the manufacture, clinical development and commercialisation of Progenza in Japan.
Progenza is a patented off-the-shelf stem cell technology developed for the treatment of knee osteoarthritis and other inflammatory conditions.
Regeneus is also expected to receive a further US$11 million in specific development and approval milestone payments.
Furthermore, Regeneus will be entitled, through its 50% interest in the joint venture, to its share of upfront licence fees, milestone payments and royalties from sub licensing the development and commercialisation of Progenza for osteoarthritis and all other clinical indications in Japan.
Asahi Glass, Japan’s leading biopharmaceutical contract manufacturer, will be responsible for funding the manufacture of Progenza for the proposed Phase 2 trial for osteoarthritis in Japan under specific conditions.
The Japanese market is currently the most dynamic market in the world for regenerative medicine and is projected to grow to US$12.7 billion by 2030 according to the Japanese government.