AOR is granted exclusive distribution rights to VIVIMIND™ in Canada;
BELLUS Health retains all rights to VIVIMIND™ in other jurisdictions worldwide
LAVAL, QC and CALGARY, Jan. 4 /CNW Telbec/ - BELLUS Health Inc. (TSX:
BLU) ("BELLUS Health") and Advanced Orthomolecular Research Inc.
("AOR") announced today that they have entered into a share purchase
agreement ("Share Purchase Agreement") with respect to BELLUS Health's
wholly-owned Canadian subsidiary OVOS Natural Health Inc., and into a
Canadian license and supply agreement ("License and Supply Agreement")
relating to BELLUS Health's VIVIMIND™, a patented natural health
product that has been shown to support the specific area of the brain
known as the hippocampus, a region responsible for memory and learning.
Pursuant to the Share Purchase Agreement, AOR is acquiring all issued
and outstanding shares of BELLUS Health's wholly-owned Canadian
subsidiary OVOS Natural Health Inc. for a total consideration of $1
million, consisting of an upfront payment of $350 000 and of a payment
of $650 000 contingent upon the successful completion of a
pre-established milestone event expected to occur within 18 months of
the closing of the transaction. Pursuant to the License and Supply
Agreement, BELLUS Health is granting AOR exclusive distribution rights
for VIVIMIND™ in Canada and will be supplying AOR with the product at a
pre-agreed transfer price. AOR will be responsible for all marketing,
distribution and sales activities of VIVIMIND™ in Canada. BELLUS Health
retains all rights to VIVIMIND™ in other jurisdictions worldwide. The
License and Supply Agreement also provides for up to $3 million in
commercial milestone payments to BELLUS Health should certain mutually
agreed upon sales targets be achieved.
"Following the issuance by Health Canada of a Natural Health Product
Number (NPN) for VIVIMIND™ in September 2010, we are pleased to enter
into a License and Supply Agreement for Canada with a leading provider
of innovative nutraceuticals such as AOR," said Roberto Bellini,
President and Chief Executive Officer of BELLUS Health. "This
transaction further complements BELLUS Health's strategy to focus on
our core development expertise while allowing strong strategic partners
to commercialize our innovative products. Following the similar
partnership concluded recently with FB Health for the Italian market,
this is a model that we are seeking to reproduce in other territories
worldwide," he added.
"AOR has always put overriding emphasis on providing health
practitioners and patients with science-backed natural health products.
VIVIMIND™ is scientifically proven to help support the hippocampus, the
specific area of the brain responsible for memory and learning" said
Mr. Clark Sayer, Chief Operating Officer of AOR. "VIVIMIND™ is a
perfect addition to our portfolio of innovative nutraceutical products.
Our team is looking forward to develop VIVIMIND™ to its full market
potential in Canada," concluded Dr Traj Nibber, President and Founder
VIVIMIND™ is scientifically proven to help support the specific area of
the brain known as the hippocampus, a region responsible for memory and
learning. The active ingredient behind VIVIMIND™, homotaurine, is a
naturally occurring amino acid with unique properties found in certain
seaweed. VIVIMIND™ is intended to be used in normal aging adults.
VIVIMIND™ was subject to over 15 years of significant scientific
research, including clinical testing in over 2,000 individuals in
European, American and Canadian medical centers. In a large controlled
clinical study, VIVIMIND™ was shown to reduce by 68% the hippocampus
volume loss in Alzheimer's disease patients over 18 months.1 Regulatory approvals for the commercial sale of VIVIMIND™ were obtained
in Italy and in Spain in 2009, and a Natural Health Product Number was
issued by Health Canada for VIVIMIND™ in September of 2010.
1 Gauthier S. et al, Journal Nutrition Health Aging, 2009; 13 (6): 550-7.
About Advanced Orthomolecular Research
Advanced Orthomolecular Research (AOR) has an established reputation as
the most advanced supplement formulator in Canada. AOR consistently
puts science-backed vitamin supplements and natural health products
into the hands of health practitioners and into the lives of patients,
insisting on solid science and real-world outcomes. AOR's portfolio of
products includes over 160 vitamin supplements and natural health
About BELLUS Health
BELLUS Health is a development-focused health company concentrating on
research and development of products that provide innovative health
solutions and address critical unmet medical needs. For further
information, please visit www.bellushealth.com.
Forward Looking Statements
Certain statements contained in this news release, other than statements
of fact that are independently verifiable at the date hereof, may
constitute forward-looking statements. Such statements, based as they
are on the current expectations of management, inherently involve
numerous risks and uncertainties, known and unknown, many of which are
beyond BELLUS Health Inc.'s control. Such risks include but are not
limited to: the impact of general economic conditions, general
conditions in the pharmaceutical and/or nutraceutical industry, changes
in the regulatory environment in the jurisdictions in which the BELLUS
Health Group does business, stock market volatility, fluctuations in
costs, and changes to the competitive environment due to consolidation,
that actual results may vary once the final and quality-controlled
verification of data and analyses has been completed, as well as other
risks disclosed in public filings of BELLUS Health Inc. Consequently,
actual future results may differ materially from the anticipated
results expressed in the forward-looking statements. The reader should
not place undue reliance, if any, on any forward-looking statements
included in this news release. These statements speak only as of the
date made and BELLUS Health Inc. is under no obligation and disavows
any intention to update or revise such statements as a result of any
event, circumstances or otherwise, unless required by applicable
legislation or regulation. Please see the Annual Information Form of
BELLUS Health Inc. for further risk factors that might affect the
BELLUS Health Group and its business.
SOURCE BELLUS HEALTH INC.
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