Can Fite Biopharma Inc. (NASDAQ: CANF) stock showed a 3.03% gain during the last trading close while the stock is showing a hike of 77.94% in the pre-market after CANF today signs $42.7 million out-licensing deal with Ewopharma which is a pharmaceutical marketing organization that helps pharma companies to access markets in CEE and Switzerland? Can-Fite is a drug development company of advanced clinical stage with a platform technology that is designed to direct multibillion-dollar markets in the treatment of cancer, liver, inflammatory disease, and COVID-19.
What the deal is all about?
CANF has signed a very significant agreement with Ewopharma which is a Switzerland based company mainly for its two important drugs that are Piclidenoson for the treatment of psoriasis and Namodenoson for the treatment of liver diseases such as carcinoma (HCC) the most common form of liver cancer and nonalcoholic steatohepatitis (NASH). The terms and conditions under which the agreement has been signed are as follows:
- Ewopharma will have to pay $2.25 million to Can-Fite with an additional $40.45 million upon achieving the set regulatory and sale goals. Ewopharma will also pay 17.5% royalties on net sales.
- In return, Ewopharma will get an exclusive right to market and sell Piclidenoson in Central Eastern European (CEE) countries and Namodenoson in CEE countries and Switzerland.
- Ewopharma is also authorized to broaden the distribution agreement to new indications that Can-Fite may identify for its drug candidates.
The VP Business Development of Can-Fite said that CANF is foreseeing an amazing outcome through this agreement with Ewopharma. The deal will bring Can-Fite non-dilutive funding, and after getting regulatory approval, it will give their products the immediate access and distribution in the European market.
While for Ewopharma it will complement and bring a change in their portfolio in gastroenterology, oncology, and immunology and ensuring Ewopharma’s long-standing commitment to its entire region.