ZIOPHARM Oncology, Inc. (Nasdaq: ZIOP), an oncology small molecule and synthetic biology drug development company, and Solasia Pharma K.K., a developer of Western oncology pharmaceuticals in-licensed for commercialization in Asian markets, announced today that they have entered into a license and collaboration agreement to develop and commercialize ZIOPHARM's darinaparsin product (Zinapar™ or ZIO-101) and related organic arsenic molecules in specified Pan-Asian/Pacific territories.
Under the terms of the agreement, ZIOPHARM granted Solasia an exclusive license to develop and commercialize darinaparsin in both intravenous and oral forms, and related organic arsenic molecules, in all indications for human use in a pan-Asian/Pacific territory comprised of Japan, China, Hong Kong, Macau, Republic of Korea, Taiwan, Singapore, Australia, New Zealand, Malaysia, Indonesia, Philippines and Thailand. ZIOPHARM will receive an up-front payment of $5 million to be used exclusively for further clinical development of darinaparsin outside of the pan-Asian/Pacific territory, and will be entitled to receive additional payments of up to $32.5 million in development-based milestones and up to $53.5 million in sales-based milestones. ZIOPHARM will also be entitled to receive double digit royalty payments from Solasia on net sales of licensed products in the applicable territories, once commercialized, and a percentage of any sublicense revenues generated by Solasia.
Solasia will be responsible for the development and commercialization of darinaparsin in the pan-Asian/Pacific territory, subject to input from a joint steering committee of the parties intended to align a strategy for worldwide development. The parties anticipate that ZIOPHARM will supply drug product for Solasia's clinical trials at Solasia's cost and ZIOPHARM expects to be responsible for the expenses of scale up commercial production worldwide. The parties may also carry out future joint development activities under a cost sharing arrangement.
"This agreement marks an important milestone for our darinaparsin program, as it provides validation for the compound's clinical potential as well as additional support ahead of moving into the pivotal phase later this year," said Jonathan Lewis, M.D., Ph.D., Chief Executive Officer and Chief Medical Officer of ZIOPHARM. "Solasia is a strong partner whose management and advisory team are highly experienced in the development and commercialization of products within these territories."
"We are very excited to add darinaparsin to our growing pipeline of oncology drugs. Cancer is a leading cause of death in Asia, with hematologic malignancies increasing as a subset of the total cancer incidence rate," said Steven E. Engen, President & CEO of Solasia. "Darinaparsin is well tolerated and is expected to be less toxic than arsenics commonly used in Japan, China and other territories in Asia and has demonstrated promising efficacy in hematologic cancers, including peripheral T-cell lymphoma (PTCL), a disease nearly twice as prevalent in Asia compared to the West, but for which there are very few treatment options. We look forward to working with ZIOPHARM in developing this novel drug, and to filling this growing unmet medical need in Asia."
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