Xbrane Biopharma AB (publ) signed a distribution agreement with BioAvenir for marketing and sales of Spherotide in Israel.
Xbrane will receive 1 million Swedish kronor as a license fee, divided into up-front and milestone payments until product launch. Both companies will share the profits from the sales of the drug in Israel, where it is expected to launch in 2020.
The drug's launch in Israel is subject to market authorization from Israel's Ministry of Health.
Spherotide is used primarily in the treatment of prostate cancer, endometriosis and uterine fibroids. For the Israeli market, it will be produced in Xbrane's production facility in Italy for resale to BioAvenir.
Xbrane estimates, based on expected price and penetration, that Spherotide has a sales potential of about 5 million Swedish kronor annually in Israel.
BioAvenir is a privately held company specializing in licensing, registering, and commercializing pharmaceuticals and special products in Israel.
As of Dec. 20, US$1 was equivalent to 9.37 Swedish kroner.