P.J.: PharmaMar (MSE:PHM) has announced today the signing of an exclusive license, development and commercialization agreement with Chugai Pharmaceutical Co. Ltd. (TSE:4519) for its third marine-derived anticancer drug PM1183 (lurbinectedin) in Japan. Under the terms of this agreement, PharmaMar will receive an upfront payment of €30 million, along with double-digit tiered royalties, and will also be eligible for receiving payments in line with the progress of the development and sales milestones; potentially worth over €100 million.
This agreement puts in value the price of the product. Japan accounts for 10% of the global oncology market. In the current stage of development of the molecule, 1.000 million euros is the global valuation. Depending on the agreements that PharmaMar reaches to close the fiscal year, it is very probable that the company's EBITDA will return positive at some point.Lurbinectedin is PharmaMar´s third anticancer drug and is currently under development for the treatment of several types of solid tumors.
The Company has recently completed the recruitment of patients in a Phase III study in platinum resistant ovarian cancer, and during the month of August, a pivotal Phase III trial in small cell lung cancer was initiated.