Bone Therapeutics to regain worldwide rights to ALLOB

Shares of Belgian cell therapy developer Bone Therapeutics (Euronext: BOTHE) jumped 11% to 0.19 euros in early trading, after it announced it has extricated itself from a complicated licensing deal for its allogenic off-the-shelf, bone cell therapy platform ALLOB in certain Asian countries and was regaining rights to the product.

In October 2020, Bone Therapeutics, Shenzhen Pregene Biopharma and Link Health Pharma signed an exclusive license agreement for the manufacturing, clinical development and commercialization of Bone’s ALLOB in China (including Hong Kong and Macau), Taiwan, Singapore, South Korea, and Thailand.

Under the agreement, Bone was eligible to receive up to 55 million euros ($54 million at current exchange rate) in development, regulatory and commercial milestone payments including 10 million euros in upfront and milestone payments anticipated in the first 24 months. Bone was also entitled to receive tiered double-digit royalties on annual net sales of ALLOB. Bone retained development and commercialization rights to ALLOB in all other geographies outside of those covered by this agreement.