Aptose Biosciences Inc. signed a licensing deal to develop and commercialize South Korea-based CrystalGenomics Inc.'s blood cancer drug in China, including Hong Kong and Macau.

CG-806 is an investigational treatment for patients with acute myeloid leukemia, B-cell malignancies and other hematologic malignancies. Acute myeloid leukemia is a type of cancer characterized by the bone marrow's production of abnormal myeloblasts, red blood cells or platelets.

Under the agreement, Aptose will give CrystalGenomics US$3 million in an up-front payment. CrystalGenomics will also receive development, regulatory and commercial-based milestone payments, along with single-digit royalties on product sales in the Chinese market, for a total deal value of US$125 million.

The new deal expands Aptose's exclusive license to develop and commercialize CG-806 globally, except Korea.