Vion licenses Triapine rights in China

Connecticut-based biopharmaceutical company Vion Pharmaceuticals has entered into a license agreement with Beijing Pason Pharmaceuticals related to the exclusive rights to develop, manufacture and market Triapine for anticancer and antiviral uses in the mainland of the People's Republic of China, Taiwan, Hong Kong and Macao. The agreement is subject to final approval from various government agencies of the People's Republic of China.

The terms of the agreement include an initial payment of $500,000 upon receipt of required approvals, $4.75m in additional milestone payments, and royalty payments of 11% of any Triapine revenues. Pason will fund the preclinical and clinical development necessary for regulatory approval of Triapine in the territory.

'We are pleased to be in partnership with Pason to commercialise Triapine in China, Taiwan, Hong Kong and Macao,' said Alan Kessman, ceo of Vion. 'The potential markets in these regions for the treatment of cancer and viral disease are substantial.'

According to the Chinese Ministry of Public Health and the Chinese Pharmaceutical Association, 1 million people in China are infected with HIV, 20 million have chronic hepatitis B (HBV) , and there are 4.5 million cancer patients. China spends nearly $1bn on anticancer drugs and $6 billion on anti-HBV medication each year.

'We believe that Pason's license of Triapine is among the first such technology transfers in the pharmaceutical industry in China since its entrance into the World Trade Organisation,' said Dr Sen Liu, ceo of Beijing Pason Pharmaceuticals. 'It is our belief that, by licensing patents and new technology, China's pharmaceutical companies will be able to develop high quality chemical drugs more effectively. Collaborations with foreign companies will improve our product pipeline, and in the long run, benefit patients.'