Telix Pharmaceuticals Ltd (ASX:TLX) (OTCMKTS:TLPPF) has entered into a strategic commercial partnership with China Grand Pharmaceutical and Healthcare Holdings Limited (CGP) (HKG:0512) for Telix’s portfolio of molecularly-targeted radiation (MTR) products.
The company has appointed CGP as its exclusive partner for the Greater China market and has granted CGP exclusive development and commercialisation rights to Telix’s portfolio of prostate, renal and brain (glioblastoma) cancer imaging and therapeutic MTR products.
Telix shares closed 29% higher at $2.16 on Monday.
“Ideal clinical and commercial partner for Telix in China”
Telix CEO Chris Behrenbruch said: “Telix’s mission is to be a leading global oncology company and China is an important future market for our products.
“We are pleased to be working with CGP to deliver our diagnostic imaging and therapeutic products to cancer patients in China.
“Considering the successful acquisition of Sirtex Medical Limited with joint venture private equity partner CDH Genetech Limited and subsequent approval of a New Drug Application filing for SIR-Spheres® by the National Medical Products Administration (NMPA) of the People’s Republic of China, we believe that CGP possesses the technical experience and execution infrastructure to be an ideal clinical and commercial partner for Telix in China.”
Strategic equity investment
Along with the partnership deal, CGP will make a simultaneous one-time strategic equity investment of US$25 million in Telix.
The investment is in the form of a private placement to CGP of 20.9 million Telix shares representing a post-issue holding of 7.62% by CGP.