[ET Net News Agency, 19 April 2018] CSPC Pharmaceutical (01093) said its wholly- owned
subsidiary CSPC Zhongqi Pharmaceutical Technology (Shijiazhuang) Co., Ltd entered into a
product licensing agreement with Galaxy Bio, Inc. in relation to the licensing and
commercialization of "Paclitaxel for Injection (albumin-bound)", a generic oncology drug
developed by CSPC Zhongqi.
CSPC Zhongqi agrees to grant an exclusive right and provide the related know-how to
Galaxy Bio to perform the necessary clinical studies and apply for the relevant approvals
required for the manufacture, distribution and sale of the product in the United States of
America, Canada, Australia, New Zealand, Japan, Hong Kong SAR, Macau SAR, Taiwan and
various countries in Europe and to exclusively manufacture, distribute and sell the
product in the territory.
In consideration for the exclusive license, Galaxy Bio shall pay a prescribed percentage
of the net profit of the product in the territory to CSPC Zhongqi as sales royalty during
a term of twenty years from the receipt of the first approval of the product in the
territory. In addition, Galaxy Bio shall make milestone payments of up to US$3 million
subject to the approval progress of the product in the territory and sales achievement
payments of up to US$110 million subject to the amount of sales achieved of the product in
the territory to CSPC Zhongqi during the term. (HL)