• Conversion of license endorses value of Arecor’s technology business
• Arecor’s innovative formulation platform delivers superior reformulation of biosimilar products that
cannot be achieved by other means
• Initial license conversion from multi-product Research Agreement
Arecor Ltd (“the Company”), the leading formulation technology company, focussed on developing superior biopharmaceuticals via the innovative reformulation of proteins and peptides to improve the treatment of diabetes and other conditions, is pleased to announce that a global pharmaceutical and healthcare company, has exercised its license option to Arecor’s proprietary formulation technology, to develop differentiated biosimilar products. This is the first license conversion resulting from the multi-product Research Agreement entered in to by both parties at the end of 2015. Under the terms of this agreement, Arecor is applying its innovative and proprietary formulation technology and expertise to develop superior formulations of certain biosimilar products proprietary to its global pharmaceutical partner; the aim being to enable further product differentiation that would otherwise not be achievable and to deliver commercial advantage within this highly competitive market segment. Upon successfully delivering the superior formulation of one of partner’s key products nominated under this Agreement, the partner has exercised its worldwide exclusive option to this formulation and the associated ArestatTM technology. This will allow
the further development, manufacture and commercialisation of the superior reformulated biosimilar product. In return, Arecor will receive payments on relevant development milestones and royalties on sales.
Dr Sarah Howell, CEO of Arecor Limited, commented:
"This license conversion is a major milestone for the Company and clear evidence that we can successfully exploit our technology to deliver superior formulations of biosimilar products for our pharmaceutical customers and can help them differentiate their biosimilar pipelines from competition. In so doing, patients will gain access to superior and more affordable versions of key therapeutics”.
“This agreement further accelerates the year-on-year growth in our technology licensing business, both in terms of revenue and profit and by doing so, it supports our dual business model and the development of our diabetes products.”