Starpharma (ASX:SPL) has signed a licence agreement with Mundipharma for the sale and marketing rights to VivaGel BV for 43 countries in Europe, Russia, the Commonwealth of Independent States (CIS) and the balance of countries in Latin America.
This deal follows the VivaGel BV licence signed with Mundipharma in May 2018 for Asia, the Middle East, Africa and parts of Latin America.
Mundipharma is a leading global pharmaceutical company. It is one of the largest privately-owned pharmaceutical companies in the world, employing over 8,600 people.
Europe represents a large commercial opportunity for VivaGel BV, said Starpharma, enabling access to more than 260 million women. It said Mundipharma will proceed to launch the product under its BETADINE brand as soon as practicable with first launches targeted for early 2019.
Starpharma will receive returns via a revenue share on VivaGel BV sales and is also eligible to receive signing, launch and other commercial milestones.
"Under the European deal, eligible milestones total up toA$20.9 million (US$15.5 million), including a A$.2.0 million (US$1.5 million) upfront payment," said Starpharma. "The combination of territories now under licence with Mundipharma means Starpharma is eligible to receive total signing, regulatory and commercial . milestones of up to A$33.3 million (US$24.7 million), in addition to receiving revenue share."
The term of the licence is 15 years and contains commercial performance obligations, including minimum annual purchases by Mundipharma.
Mundipharma is responsible for marketing, promotion and sales of the product in its licensed territories. Starpharma retains ownership of the VivaGel BV trademark and will supply Mundipharma with VivaGel BV.
Commenting on the licence, Starpharma CEO Dr Jackie Fairley said: “We are delighted to expand our commercial relationship with Mundipharma, owners of the rapidly growing feminine care brand, BETADINE. In particular, Europe represents a very important market for VivaGel BV and with this licence in place, VivaGel BV will soon be available to millions of European women who suffer from BV. We’re impressed by Mundipharma’s commitment to the feminine care category and their plans to expedite the product launch through their extensive marketing network in Europe."
Raman Singh, Mundipharma CEO, said: “We’re excited to be working with Starpharma in an area of significant unmet need and to be adding this highly innovative product, VivaGel BV, to our BETADINE feminine care range throughout additional regions, including Europe.”