"The closing of this licensing deal with ILJIN Life Science puts into
motion our key strategy to advance the development of voclosporin into
a Phase III clinical trial for prevention of kidney transplant
rejection, the most important indication for our lead drug," stated
Isotechnika CEO, Dr. Robert Foster.
Trades on Toronto Stock Exchange - (TSX: ISA)
EDMONTON, Feb. 2 /CNW/ - Isotechnika Pharma Inc. (TSX: ISA) is pleased
to announce that it has finalized the Development, Distribution and
License Agreement with ILJIN Life Science Co., Ltd., previously
announced on November 16, 2010. Isotechnika will now receive the
license fee of US$4.5 million plus proceeds of US$2.375 million from
ILJIN's purchase of its first tranche of Common Shares from treasury.
The funds from this licensing agreement will be used to finance a
pivotal Phase III trial of voclosporin for the prevention of kidney
Dr. Foster also commented, "We are very excited to have the support of
ILJIN as a strategic investor in Isotechnika. This transaction
provides all stakeholders a real opportunity to realize the full value
of our critical voclosporin asset. We look forward to being able to
provide an update on our plans for the pivotal phase III clinical trial
in the coming months."
As part of the transaction, Isotechnika amended its partnership with
Paladin Labs Inc. (TSX: PLB). These amendments were made to facilitate
Isotechnika's transaction with ILJIN, and will now allow Isotechnika to
aggressively move forward with its clinical development plan for
voclosporin in transplantation. Paladin sold 12.5 million shares of
Isotechnika to ILJIN for $3.25 million and licensed additional
territories to Isotechnika for $1 million. Paladin still retains
rights to voclosporin for transplantation and autoimmune diseases for
Canada, South Africa and Israel. Paladin recently filed a New Drug
Submission (NDS) with Health Canada for voclosporin for the treatment
of moderate to severe psoriasis.
ILJIN Life Science Co., Ltd. is a member company of ILJIN Group, a
global conglomerate based in Seoul, South Korea, which last year earned
US$2 Billion in revenue. Information on ILJIN Group can be found at www.iljin.co.kr.
About Isotechnika Pharma Inc.
Isotechnika Pharma Inc. is a biopharmaceutical company focused on the
discovery and development of immunomodulating therapeutics designed to
offer key safety advantages over currently available treatments. Its
lead drug, voclosporin, is a calcineurin inhibitor, and is targeted at
the estimated $3.0 billion market for this class of immunosuppressants.
Isotechnika Pharma Inc. is a publicly traded company on the Toronto
Stock Exchange under the symbol "ISA". More information on Isotechnika
Pharma can be found at www.isotechnika.com or www.SEDAR.com.
This news release contains forward-looking statements and predictions.
These forward-looking statements, by their nature, necessarily involve
risks and uncertainties that could cause actual results to differ
materially from those contemplated by the forward-looking statements.
The Company considers the assumptions on which these forward-looking
statements are based to be reasonable at the time they were prepared,
but caution that these assumptions regarding the future events, many of
which are beyond the control of the Company, may ultimately prove to be
incorrect. Factors and risks, which could cause actual results to
differ materially from current expectations, are discussed in the
annual reports, as well as in the Company's Annual Information Form for
the year ended December 31, 2009. The Company disclaims any intention
or obligation to update or revise any forward-looking statements
whether a result of new information, future events, or except as
required by law. For additional information on risks and uncertainties
relating to these forward-looking statements, investors should consult
the Company's ongoing quarterly filings, annual report and Annual
Information Form and other filings found on SEDAR at www.sedar.com
SOURCE Isotechnika Pharma Inc.
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