Vancouver’s Welichem Biotech Inc. (TSX:WBI) has struck a deal with a subsidiary of Canadian drug manufacturer GlaxoSmithKline Inc. on a new dermatology drug used to treat psoriasis and atopic dermatitis.
The drug, WBI-1001, is in phase two of clinical studies. Under the agreement, Stiefel – a GSK company – will acquire the commercialization rights to WBI-1001 for countries outside of China, Taiwan, Macao and Hong Kong for $35 million.
The deal is subject to approval by Welichem shareholders.
Stiefel has will receive conditional rights to acquire further exclusive rights to develop and commercialize WBI-1001 in China, Taiwan, Macao and Hong Kong for an additional payment of CAD$15 million.
“Based on clinical results to date, we believe that WBI-1001 has the potential to be a first-line topical therapy for psoriasis and atopic dermatitis,” said Welichem CEO Liren Tang.
“As a leader in dermatology products, Stiefel has the clinical development and commercialization capabilities to bring this novel product to these patients around the world.”
Welichem Biotech develops therapeutic drugs for the treatment of autoimmune diseases and cancers.
