The license agreement has a term that may extend to the expiry of the patents that are the subject of the license agreement. Currently, the maximum term would extend to 2031, assuming no patent term extensions. The term could be shorter if the license agreement were terminated, such as for example, if the product demonstrates lack of efficacy or safety during development.
The payment terms under the license agreement involve an upfront payment that is non-material in amount in comparison to the total potential remuneration referred to in the press release. When received, all payments including the initial payment will be visible in NeuroVive’s quarterly financial reporting. The payment terms under the license agreement are conditional upon the occurrence of uncertain future events. Thus, if those events do not occur, such as for example due the lack of efficacy or safety of the product, the affected payments will not occur.
The licensed compound is at a pre-clinical stage of development which means that its chances of reaching the market are subject to a number of contingencies that are not within the control of NeuroVive. These include scientific and clinical risk that the product might during development be shown to lack efficacy or safety, partner risk that OnCore might choose to develop other substances in preference to the one licensed from NeuroVive or might be unable financially or otherwise to carry out the development, and regulatory risk that the medicinal products regulatory authorities in the numerous countries that make up the market for this product might not authorize the marketing of the product or might have requirements that extend or delay the time it takes to bring the product to market. There are several other contingencies that apply in the ordinary course of development of any pre-clinical medicinal product of this type and investors are urged to review NeuroVive’s public disclosure documents for further general information on the development of NeuroVive’s products.
About NeuroVive Pharmaceutical
NeuroVive Pharmaceutical AB (publ), a leading mitochondrial medicine company, is developing a portfolio of products to treat acute cardiovascular and neurological conditions through mitochondrial protection. These medical conditions are characterized by a pressing medical need and have no approved pharmaceutical treatment options at present. NeuroVive’s products CicloMulsion® (heart attack) and NeuroSTAT® (traumatic brain injury) are currently being evaluated in phase III and phase II studies, respectively. NeuroVive’s research programs also include products for the treatment of brain cell injury in stroke patients, and drug candidates for cellular protection and treating mitochondria-related energy regulation diseases. NeuroVive’s shares are listed on NASDAQ OMX, Stockholm, Sweden.
For Investor Relations and media questions, please contact:
Ingmar Rentzhog, Laika Consulting, Tel: +46 (0)46 275 62 21 or ir@neurovive.se
It is also possible to arrange an interview with NeuroVive’s CEO Mikael Brönnegård at the above contact.
NeuroVive Pharmaceutical AB (publ)
Medicon Village, SE-223 81 Lund, Sweden
Tel: +46 (0)46 275 62 20 (switchboard), Fax: +46 (0)46 888 83 48
info@neurovive.se, www.neurovive.se
NeuroVive Pharmaceutical AB (publ) is required to publish the information in this news release under The Swedish Securities
Market Act. The information was submitted for publication on 11 September 2014, at 9.00 a.m. CET.