Clal Biotech sells diabetes treatment co Andromeda - (Globes via NewsPoints Desk)

  • Globes reported Wednesday that Clal Biotechnology has signed a non-binding letter of intent to sell Andromeda Biotech to an unnamed US pharmaceutical company.
  • Clal Biotech, owns 96 percent of Andromeda after acquiring Teva's stake in the company earlier this week.
  • Under the deal, Clal Biotech will receive an immediate payment of several million dollars, with future payments possibly reaching hundreds of millions of dollars, if Andromeda's type 1 diabetes drug Diapep277 meets development, registration, and sales milestones.
  • The agreement also includes double-digit royalties on sales of DiaPep277, which is currently undergoing two Phase III trials.

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