RNS Out22 Jun 2021 08:04
Cizzle Biotechnology, a UK based developer of a blood test for the early
detection of a majority of the different forms of lung cancer, is pleased to
announce that it has signed a Memorandum of Understanding ("MoU") with St
George Street Capital ("SGS"), a UK-based medical charity led by a group of
highly decorated academics and ex-pharma executives formed to deliver much
needed treatments to patients. SGS's strategy is to progress existing
clinical assets through Phase II medical trials, before licencing them on for
Phase III trials and commercialisation.
The MoU covers a proposed collaboration between the parties to develop a
companion diagnostic platform for certain therapeutic assets already licenced
to SGS by a large pharma company, which seeks to address unmet clinical needs
in autoimmune disease. A companion diagnostic is a medical device which
provides information that is essential for the safe and effective use of a
corresponding drug. It assists health care professionals determine whether a
particular therapeutic product's benefits to patients will outweigh any
potential serious side effects or risks.
Under the terms of the MOU, and subject to a full commercial contract being
entered into, it is proposed that SGS will pay milestone payments to Cizzle
Biotechnology of up to £1 million, from which the Company will fund the work
to be undertaken to develop the companion diagnostic and any third parties
contracted by Cizzle Biotechnology to assist. SGS is to be responsible for
providing clinical samples, reagents and patient and technical information
and, in addition, will provide regulatory and technical advice on securing the
required regulatory approvals for the companion diagnostic platform. Cizzle
Biotechnology will utilise its existing technology and know-how covering
companion diagnostics in developing the platform.
Further, under the MoU, SGS has agreed to grant Cizzle Biotechnology potential
future royalty payments from the commercialisation of SGS's therapeutic asset
of up to £5 million, plus potentially further payments from the use of the
companion diagnostic. In consideration of this potential royalty stream,
Cizzle Biotechnology has paid £65,000 to SGS on signature of the MOU and will
pay a further £135,000 on entering into a full commercial contract. Any
payments under this royalty are contingent on the successful development of
SGS's therapeutic asset.