Kazia Therapeutics signs LOI to develop and commenrcialize paxalisib

Kazia Therapeutics announced that it has signed a non-binding Letter of Intent, or LOI, with an undisclosed biotechnology company for the license of worldwide rights, other than mainland China, Hong Kong, Macao and Taiwan, to develop and commercialize pharmaceutical product containing paxalisib in an indication outside of cancer. Mutual due diligence has been completed and each company has agreed to move forward to negotiate and use their best efforts to agree to the terms of a definitive agreement. The LOI sets out the proposed terms and preliminary conditions of the agreement as well as a 90-day exclusivity period. The proposed terms include an upfront payment, and potential for clinical and regulatory milestone payments, as well as commercial sales-based royalties and milestones. The companies are currently negotiating the definitive license agreement. There can be no assurance that a definitive license agreement will be executed or that the proposed transaction will be consummated on the terms or timeframe currently contemplated.