hVIVO invests in PrEP Biopharm to drive the development of treatment for respiratory infections

2 November 2015

Life sciences company hVIVO (AIM: HVO) on Monday said it has made an investment in PrEP Biopharm in order to continue the development of its PrEP-001 prophylactic compound to treat respiratory viral infections. Shares in hVIVO were down 2.1% to 260.00 pence on Monday.

Janssen, a unit of Johnson & Johnson (NYSE: JNJ), is granting a worldwide license to PrEP in exchange for equity in the company, together with downstream milestones and royalties. hVIVO is acquiring equity in PrEP for £14.0 million ($21.7 million) cash consideration and PrEP is contracting with hVIVO Services Limited to conduct a £10.0 million Phase IIa clinical program of work in 2015 and 2016.

hVIVO’s investment will be accounted for as an investment in associate in its balance sheet and, in the application of the equity method as an associate, the £10.0 million Phase IIa clinical program of work will be recognized as revenue.

This article is accessible to registered users, to continue reading please register for free. A free trial will give you access to exclusive features, interviews, round-ups and commentary from the sharpest minds in the pharmaceutical and biotechnology space for a week. If you are already a registered user please login. If your trial has come to an end, you can subscribe here.

Try before you buy

Free

7 day trial access

Take a Free Trial

All the news that moves the needle in pharma and biotech
Exclusive features, podcasts, interviews, data analyses and commentary from our global network of life sciences reporters.
Receive The Pharma Letter daily news bulletin, free forever.

Become a subscriber

£820

Or £77 per month

Subscribe Now

Unfettered access to industry-leading news, commentary and analysis in pharma and biotech.
Updates from clinical trials, conferences, M&A, licensing, financing, regulation, patents & legal, executive appointments, commercial strategy and financial results.
Daily roundup of key events in pharma and biotech.
Monthly in-depth briefings on Boardroom appointments and M&A news.
Choose from a cost-effective annual package or a flexible monthly subscription

The Pharma Letter is an extremely useful and valuable Life Sciences service that brings together a daily update on performance people and products. It’s part of the key information for keeping me informed

Chairman, Sanofi Aventis UK