Israel-Medical-Healthcare

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Can-Fite receives milestone payment for its drug
The firm has an exclusive licensing agreement with Japan's Seikagaku Corporation.
Globes' correspondent 16 Oct 07 18:38
Can-Fite BioPharma Ltd. (TASE:CFBI) has taken a further step forward in its agreement with Japan's Seikagaku Corporation (SKK).
Can-Fite will receive a $500,000 milestone payment, following the final report on the results of its phase II FDA clinical trial drug CF101 for the treatment of rheumatoid arthritis in. The results were the same as those initially published following the trial, and they support the continued development of CF101.

Last year, Can-Fite signed an exclusive licensing agreement with SKK for the development and marketing of CF101 in Japan. Under the terms of the agreement, Can-Fite will receive a total of $19.5 million based on meeting specific milestones, and will also receive significant royalty payments from Japan sales of the drug.

So far, Can-Fite has received $5 million, and now will receive an additional $500,000.

Can-Fite and SKK are also collaborating on several non-clinical studies in the US aimed at supporting CF101 development in Japan, the US, and Europe. The two companies are sharing the costs associated with those studies.

Prof. Pnina Fishman, CEO of Can-Fite, stated today: "We are extremely satisfied with the cooperation with a fine partner such as SKK and from the benefit of being able to work jointly with them on various on-going projects. We have no doubt that this collaboration will considerably contribute to the overall progress of the CF101 development plan".

Published by Globes [online], Israel business news - www.globes.co.il - on October 16, 2007