The development and commercialization deal is for Can-Fite's CF101 drug.
Drug developer Can-Fite BioPharma Ltd. (TASE:CFBI) has obtained a $500,000 royalties payment for 2010 from Japan's Seikagaku Corporation (SKK) (TSE: 4548).
Can-Fite, run by CEO Pnina Fishman, signed a $19.5 million development and commercialization agreement with SKK for Can-Fite's CF101 drug for the treatment of rheumatoid arthritis. SKK has paid Can-Fite $7 million to date in royalties.
SKK has the right to market CF101 for other inflammatory diseases, such as psoriasis. In September 2009, Can-Fite announced success in the Phase II clinical trial of CF101, and the company plans to begin the Phase III trial in a few months. SKK is also partly financing other clinical developments, such as a tablet form of CF101 for clinical and safety trials ahead of more advanced clinical trials.
Can-Fite's share rose 4.4% in morning trading today to NIS 0.60, giving a market cap of NIS 124 million.
Published by Globes [online], Israel business news - www.globes-online.com - on January 3, 2010
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