Generex in Middle East licensing deal for Oral-lyn

USA-based Generex Biotechnology, a specialist in drug delivery for metabolic diseases through the inner lining of the mouth, has entered into an exclusive Master Product Licensing & Distribution Agreement with Leosons General Trading Co, a distributor of North American products in the Middle East, for the commercialization of Generex Oral-lyn, the company's proprietary oral insulin spray product, in 15 countries, including Saudi Arabia and the United Arab Emirates.

In lieu of Generex receiving an upfront license fee, Leosons will bear all costs associated with the procurement of governmental approvals for the sale of the product, including any clinical and regulatory costs. The accord obligates Leosons to file all requisite applications for approvals by fall-2007.

According to the International Diabetes Federation, the UAE has the second highest rate of diabetes in the world, affecting 70% of residents. Other Gulf states also have significant diabetes problems, with Saudi Arabia ranked third, Bahrain, fourth, Kuwait, fifth and Oman sixth. Leosons, based in the UAE, will procure all Middle Eastern governmental approvals for the importation and sale of Generex Oral-lyn. Thereafter, it will market and sell the product through its extensive distribution network in the region. It will also be required to achieve minimum quarterly sales of the product.