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Wednesday, April 8, 2020

PharmaCyte Biotech enters into license agreement for COVID-19 diagnostic kits

PharmaCyte Biotech (OTCQB:PMCB +4.1%) has entered into a license agreement with Hai Kang Life, for sharing certain technology owned or controlled by Hai Kang related to COVID-19 diagnostic kits.
During the term of the Agreement, PharmaCyte is required to pay a monthly fee to Hai Kang in the amount of $6K; this monthly fee increases to $50K once the first Product receives regulatory approval from the U.S. FDA.
In addition, upon the first commercial sale of a Product, PharmaCyte is required to make quarterly royalty payments equal to 10% of Net Sales of any Product sold pursuant to the Agreement.
While Hai Kang is obligated to manufacture any such Product, PharmaCyte cannot assure that the Hai Kang’s manufacture of any Products will comply with U.S. regulatory requirements or that any health care facility or provider will be willing or able to use Products manufactured by Hai Kang.
https://seekingalpha.com/news/3559382-pharmacyte-biotech-enters-license-agreement-for-covidminus-19-diagnostic-kits

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