Aptose Biosciences (NASDAQ:APTO) today unveiled a ground-breaking licensing agreement with South Korea’s CrystalGenomics Inc to sell its drug therapy CG-806 in China, Hong Kong and Macau.
CG-806 is a small molecule that is being developed for the treatment of acute myeloid leukemia, B-cell malignancies and additional blood cancers.
Aptose shares climbed 11.8% to US$4.22 in pre-market trade on the back of the company’s deal.
Under the terms, Aptose, which is based in San Diego, California, will pay CrystalGenomics US$3m up front as well as make additional payments for commercial-based milestones and royalties. The deal's value for the China territory, including the upfront payment, could reach as much as US$125mln.
Dr. William Rice, Aptose’s president and chief executive, said pre-clinical work with CG-806 has shown its superior ability to kill B-cell malignancy relative to other treatments.
“We believe that CG-806 has the potential to serve as a transformational agent for multiple hematologic cancers,” he said.
Aptose has been conducting investigational new drug-enabling studies with CG-806 as well as numerous preclinical studies.