Restructured Venture Also Seeks Licensing Partners for ABVC
Fremont, CA – (NewMediaWire) – October 12, 2021 – ABVC Biopharma, Inc. (NASDAQ: ABVC), a clinical-stage biopharmaceutical company developing therapeutic solutions in oncology/hematology, CNS, and ophthalmology, today announced the execution of a joint venture agreement with Lucidam, a private investment firm based in Tokyo. The agreement calls for business development collaboration through BioLite Japan, an existing affiliate of ABVC, that seeks to identify early-stage opportunities in drug development, digital health, and medical device technology. Pursuant to the joint venture agreement, ABVC will retain equity ownership in BioLite Japan at 49% (rather than its pre-agreement 50% ownership) and Lucidam will retain equity ownership in BioLite Japan at 51% (rather than its pre-agreement 50% ownership).
Dr. Toru J. Seo has agreed to lead the new joint venture which will be based in Tokyo. Dr. Seo has vast pharma industry experience in R&D and business development from his previous employment with GSK, Merck, Taisho and, most recently, with Pfizer, as its Senior Director and Asia Pacific Lead in the Worldwide Business Development business office.
“This joint venture should allow us to further ensure access to additional early-stage product candidates that we otherwise would not have access to without this partnership,” said Dr. Howard Doong, Chief Executive Officer of ABVC. “Dr. Seo has a distinguished career in healthcare and business in Japan and Asia and will play a significant role in expanding our pipeline at an accelerated pace.”
Under the terms of the agreement, BioLite Japan will identify and license New Chemical Entities (NCEs), New Biological Entities (NBEs), diagnostic tools, biomarkers, and medical devices in the early stages of discovery and development anywhere in the world but primarily in Japan. After conducting any necessary pre-clinical studies, BioLite Japan will transfer the rights of the most promising research to ABVC for further clinical development, regulatory approvals, and subsequent commercialization in exchange for product royalties and/or milestone payments. In addition, BioLite Japan will seek potential licensing partners for ABVC’s current pipeline of drug products and medical devices.
ABVC is a clinical-stage biopharmaceutical company focused on development of therapeutic solutions in oncology/hematology, the central nervous system (CNS), ophthalmology, and medical devices related to these fields. Its current pipeline features six drugs and a medical device, ABV-1701/Vitargus®. For its drug products, it is focused on conducting proof-of-concept trials through Phase II of clinical development at world-famous research institutions including Stanford University, University of California at San Francisco, and Cedars-Sinai Medical Center. For Vitargus®, the company intends to conduct clinical trials through Phase III at various locations throughout the world.
Clinical trials are in early stages, and there is no guarantee that any specific outcome will be achieved. This press release contains “forward-looking statements.” Such statements may be preceded by the words “intends,” “may,” “will,” “plans,” “expects,” “anticipates,” “projects,” “predicts,” “estimates,” “aims,” “believes,” “hopes,” “potential,” or similar words. Forward-looking statements are not guarantees of future performance, are based on certain assumptions, and are subject to various known and unknown risks and uncertainties, many of which are beyond the Company’s control, and cannot be predicted or quantified, and, consequently, actual results may differ materially from those expressed or implied by such forward-looking statements. Such risks and uncertainties include, without limitation, risks and uncertainties associated with (i) our inability to manufacture our product candidates on a commercial scale on our own, or in collaboration with third parties; (ii) difficulties in obtaining financing on commercially reasonable terms; (iii) changes in the size and nature of our competition; (iv) loss of one or more key executives or scientists; and (v) difficulties in securing regulatory approval to proceed to the next level of the clinical trials or to market our product candidates. More detailed information about the Company and the risk factors that may affect the realization of forward-looking statements is set forth in the Company’s filings with the Securities and Exchange Commission (SEC), including the Company’s Annual Report on Form 10-K and its Quarterly Reports on Form 10-Q. Investors are urged to read these documents free of charge on the SEC’s website at http://www.sec.gov. The Company assumes no obligation to publicly update or revise its forward-looking statements as a result of new information, future events or otherwise.
This press release does not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of that state or jurisdiction.
Andy An – Chief Financial Officer