Somanta to expand Virium license agreement

The letter covers all formulations or drug combinations of phenylbutyrate being developed for the treatment of recurrent brain tumors.

In addition to current worldwide rights, Somanta obtains a participation in any revenue or royalties derived from the sale of phenylbutyrate in North America. In return, Somanta has granted Virium a reciprocal participation in Europe. In the rest of the world, Somanta and Virium will share revenues and royalties equally.

The agreement also includes a co-development project of phenylbutyrate for various next generation reformulations, including one that will provide for novel sustained release administration. These reformulations are being developed to expand market potential for phenylbutyrate to include new indications.

“This expanded agreement provides us the opportunity to participate in the largest market in the world for oncology drugs, and if our efforts with respect to a reformulation are successful, we will enjoy a share of the economics on a global basis for these formulations,” commented Agamemnon Epenetos, CEO of Somanta.

In October, the US National Institutes of Health gave conditional approval to Somanta's sublicense from Virium. To date, Virium has not met the conditions required by the National Institutes of Health.