Mitsubishi Tanabe takes Korean company to court as licensing deal turns sour

Japanese drug major Mitsubishi Tanabe Pharma (TYO: 4508) has filed a request for arbitration against Kolon Life Science (Kosdaq: 102940), a South Korean company that until last month was called TissueGene.

The claim, made in the International Court of Arbitration of the International Chamber of Commerce, is for the return of the upfront sum that Mitsubishi paid as part of the licensing agreement between the two companies for Invossa.

This cell therapy is Kolon’s lead product candidate and is for osteoarthritis of the knee. It has completed Phase II trials in the USA and has attained marketing approval in Korea.