April 26, 2024

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[THE INVESTOR] Kolon Life Science announced on Nov. 1 that it has signed an agreement with Japan’s Mitsubishi Tanabe Pharma to exports technology for Invossa, its cell therapy for degenerative arthritis, for 45.7 billion yen (US$436.21 million).

It is the world’s first allogenic cell therapy for the disease that has been found to alleviate pain and increase activity for over a year with a single injection at clinical trials. Invossa has currently finished the third phase of trials at home and is waiting for the final approval from the Ministry of Food and Drug Safety. 

A promotional image for Kolon Life Science's Invossa. Kolon Life Science

Kolon will receive 27.3 billion yen upfront and 43.2 billion yen in milestone payment.

“This is the largest amount ever for technology transfer to one country,” said a company official adding that it will also collect double-digit royalty when the product goes on sale.

Mitsubishi Tanabe will own exclusive development and sales rights in Japan and will carry out clinical trials and item approval there while Kolon will supply the product.

Mitsubishi Tanabe is the leader in rheumatoid arthritis medicine in Japan and is one of the top 50 pharmaceutical companies in the world by revenue.

By Hwang You-mee (glamazon@heraldcorp.com)