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Signs Letter of Intent to Sub-License VAL201
Signs Letter of Intent to Sub-License VAL201.
About this update from Valirx Plc
[{"type":"text","content":"\n \n \n \n RNS Number : 9878Q\n ValiRx PLC\n 02 November 2021\n \n \n \n 2 November 2021\n \n ValiRx PLC (\"ValiRx\" or the \"Company\")\n \n Signs Letter of Intent to Sub-License VAL201\n \n London, UK - ValiRx Plc (AIM: VAL), a life science company focusing on early-stage cancer therapeutics and women's health, announces today it has entered into a non-binding letter of intent (\"LOI\") with TheoremRx Inc. (\"TheoremRx\"), a recently incorporated company, a next generation drug development Company, to enter into a licence agreement on pre-agreed terms to sub-license ValiRx's legacy asset VAL201 for development in the treatment of cancer (the \"Licence Agreement\"). Completion of the Licence Agreement is subject to, inter alia, the successful fundraise by TheoremRx.\n TheoremRx is private US-based oncology company focused on the discovery and development of new treatments that will benefit patients suffering from cancer. TheoremRx has established a highly integrated approach for the discovery, development and manufacture of peptide and small molecule drugs that modulate targets of clinical interest.\n Under this proposed Licence Agreement, TheoremRx will obtain a worldwide licence to ValiRx's VAL201 intellectual property for a novel peptide targeting SRC kinase targeting oncology indications. ValiRx will retain the rights to develop the VAL201 peptide for non-oncology indications, including VAL301 for endometriosis. Subject to successful market authorisation, the potential value of the deal would be in excess of US$61M plus royalties for the first cancer indication alone. Each oncology indication successfully developed to by TheoremRx will generate up to $37.5M of additional value to ValiRx. The proposed deal structure comprises payments on signature of the Licence Agreement plus fees and near-term milestones totalling US$2.2M before the end of 2023, milestones on further clinical and commercial development events, and royalties. The first payments are expected by the end of 2021.\n As part of the deal, TheoremRx will enter into a service contract with ValiRx to provide consulting services to TheoremRx to aid technology transfer, formulation for patent extension and continued clinical development of VAL201. \n The LOI details a period of exclusivity during which TheoremRx wi...