OBI Eligible to Receive Milestone Payments as well as US$3.0 Million Upfront Cash Payment and Royalties on Sales in Taiwan.
DIFICID was approved in 2012 by Taiwan’s Department of Health to Treat Clostridium Difficile-Associated Diarrhea (CDAD)
TAIPEI, October 5, 2015/ — OBI Pharma, Inc. (TPex: 4174) today announced an agreement with MSD, known as Merck in the United States and Canada, through a subsidiary transferring exclusive rights to develop and commercialize Dificid® (fidaxomicin) in Taiwan to MSD.
This agreement will enable the launch of Dificid® in Taiwan utilizing MSD’s extensive market expertise and knowledge, with the potential to benefit patients in Taiwan suffering from Clostridium Difficile-Associated Diarrhea (CDAD).
Under the terms of the agreement, OBI Pharma will receive an initial up-front payment of US$3.0 million from MSD and is eligible to receive royalties and payments associated with the completion of certain undisclosed milestones. MSD will be responsible for all future costs associated with commercialization, development, and manufacturing of DIFICID in Taiwan.
DIFICID (fidaxomicin) is an orally administered, narrow-spectrum, macrocyclic antibiotic with a novel mechanism of action approved in Taiwan for the treatment of Clostridium difficile-Associated Diarrhea (CDAD) in adults 18 years of age or older under the trade name DIFICID®.
CDAD is a significant medical problem in hospitals, long-term care facilities, and in the community. CDAD is a serious illness resulting from infection of the inner lining of the colon by C. difficile bacteria, which produce toxins that cause inflammation of the colon, severe diarrhea, and, in the most serious cases, death. Patients typically develop CDAD from the use of broad-spectrum antibiotics that disrupt normal gastrointestinal (gut) flora, possibly allowing C. difficile bacteria to flourish. Older patients in particular are at risk for CDAD, potentially because of a weakened immune system or the presence of underlying disease.
About OBI Pharma
OBI Pharma, Inc., headquartered in Taipei, Taiwan, is a biopharmaceutical company focused on the discovery and development of innovative treatments for unmet medical needs, including cancer & infectious diseases. The company’s flagship product in development is OBI-822, a first-in-class active immunotherapy for metastatic breast cancer. OBI is also developing next generation active immunotherapies for difficult to treat cancers, including lung, prostate, pancreatic, stomach, and ovarian cancers. OBI is publicly traded on the Taipei Exchange (TPex: 4174). Additional information can be found at www.obipharma.com/en
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Statements included in this press release that are not a description of historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, but are not limited to, statements about future clinical trials, results and the timing of such trials and results. Such risk factors are identified and discussed from time to time in OBI Pharma’s reports and presentations, including OBI Pharma’s most recent filings with the Taiwan Securities and Exchange Commission.
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