Epic Pharma gets rights to sell 12 generics

Elite Pharmaceuticals (OTCBB: ELTP) has signed a manufacturing and license agreement with fellow USA-based, privately held Epic Pharma, granting the latter the right to manufacture, market and sell 12 generic products in the USA and Puerto Rico.

Of the 12 products, the names of which were not revealed, Epic will have the exclusive right to market six and the non-exclusive right to market six additional products. Epic is also responsible for all regulatory and pharmacovigilance matters related to the products and for all costs related to the site transfer for all products.

Under the deal, Elite will receive a license fee and milestone payments. The license fee will be computed as a percentage of the gross profit, as defined in the agreement, and earned by Epic as a result of sales of the products. The license fee is payable monthly for the term of the agreement.