Stellar Seals Licensing Agreement With Jeilmedix

Stellar Pharmaceuticals (Stellar) has signed a licensing agreement for the distribution and sale of Uracyst (a sterile sodium chondroitin sulfate solution, 2%) for the treatment of interstitial cystitis/painful bladder syndrome in South Korea with Jeilmedix Pharmaceutical (Jeilmedix).

Reportedly, following the obtainment of regulatory approval for the import and sale of Uracyst by the Korea Food and Drug Administration, it is expected that Jeilmedix will commercially launch the product in the third quarter of 2010.

Under the terms of the agreement, Jeilmedix is expected to pay Stellar an upfront licensee fee in addition to a specified transfer price in exchange for the rights to an exclusive license for this territory. The agreement has an initial five-year term and may be renewed for an additional three-year term with the mutual consent of both parties.

Peter Riehl, president and CEO, Stellar, said: “We are very pleased to be working with Jeilmedix. This agreement is in keeping with the company’s overall growth strategy – selling direct in Canada and out-licensing our proprietary products into the global marketplace. We look forward to building a successful long-term relationship with Jeilmedix.”