LONDON (Alliance News) - Biotechnology firm ValiRx PLC on Tuesday said ValiSeek has secured letters of intent from two companies to co-finance the development of cancer drug VAL401.
Shares in ValiRx were up 16% at 0.62 pence on Tuesday morning.
ValiSeek is ValiRx's subsidiary joint venture, in which it owns a 55.5% majority stake, and was created in order to advance VAL401 as a treatment for late stage non-small cell lung cancer as well as other cancers.
A phase two clinical trial has already been completed and found that VAL401 improved overall survival in non-small cell lung cancer.
ValiSeek has now agreed letters of intent from two unnamed companies, one in Europe and one in the US, to advance VAL401 to its next clinical trial "on a co-financing basis".
ValiRx Chief Executive Satu Vainikka said: "I am delighted that ValiSeek has managed to secure a robust solution and strategy for the advancement of VAL401 and I believe that this outcome provides the best long-term value opportunity for ValiRx's investment in the ValiSeek project."