Molteni Farmaceutici is an Italian pharmaceutical company specialized in therapeutic solutions for pain relief and drug addiction treatment.

In accordance with the company’s previous announcement, the parties have now completed due diligence and entered into a binding definitive agreement that grants Molteni Farmaceutici exclusive rights and a commercial partnership to introduce BupiZenge in Europe (EU27, EEA, Switzerland and the UK).

Royalties and commercial milestone payments

The agreement includes milestone payments of EUR 250,000 upon signing the agreement, EUR 250,000 upon successful completion of the Phase III study, EUR 300,000 upon the first commercial sale, and milestone payments of EUR 500,000 upon reaching EUR 10 million in cumulative net sales, EUR 1,000,000 upon reaching EUR 20 million in cumulative net sales, EUR 1,000,000 upon reaching EUR 30 million in cumulative net sales, and EUR 1,000,000 upon reaching EUR 40 million in cumulative net sales.

The agreement also includes royalties of 15% to OncoZenge for annual sales of BupiZenge in the territory up to EUR 30 million, 18% royalty on sales between EUR 30 million and EUR 60 million, and 20% royalty on cumulative annual sales above EUR 60 million. If the rights in individual countries in the territory are sublicensed, OncoZenge will receive 50% of any upfront fees from such sublicensing.

The parties will continue to evaluate opportunities for volume manufacturing and OncoZenge will provide ongoing updates to the market as development progresses, it states.

“This partnership provides an important confirmation of our market potential and provides important support for our project. Molteni Farmaceutici’s market reach will ensure an ambitious and coherent launch plan for the commercialization of BupiZenge across Europe,” says Stian Kildal, CEO of OncoZenge.