Falk Pharma secures rights of Medigene’s RhuDex

Under the deal, Falk Pharma will assume responsibility and all costs relating to the clinical development and marketing of RhuDex.

In return, Medigene will get an upfront payment and future milestone payments from Falk Pharma, plus double-digit RhuDex royalties.

Initially, Falk Pharma will concentrate on development in primary biliary cirrhosis (PBC).

The German firm retains the rights of the drug for indications such as rheumatoid arthritis, psoriasis and other autoimmune diseases.

Medigene CEO Frank Mathias said in Falk Pharma, the company has found an ideal partner for RhuDex.

"Falk Pharma has already successfully developed and launched several drugs to treat diseases of the liver and biliary tract," Mathias said.

"After the transforming acquisition of Trianta Immunotherapies GmbH, this partnership for RhuDex represents another major step in the implementation of our strategy for sustainable growth."

Falk Pharma managing director Ursula Falk said RhuDex possesses an new mode of action and complements the company’s existing development and commercial portfolio.

"We will use our years of expertise in this field to further develop this attractive product candidate to a successful drug," Falk said.

Medigene CFO Peter Llewellyn-Davies said with this agreement the company continues to implement its licensing plans for the advanced product candidates.

"Yet we will retain the major part of our rights to RhuDex, e.g. for the treatment of rheumatoid arthritis or psoriasis," Llewellyn-Davies said.

"This license agreement facilitates the further clinical development of RhuDex and also contributes to the financing of our immunotherapy programs recently acquired which will open up new partnering and financing opportunities."