IDM Pharma signs exclusive Junovan licensing deal with Medison Pharma

USA-based biopharmaceutical company IDM Pharma says that its European subsidiary has agreed an exclusive licensing deal for its product Junovan (a liposomal formulation of muramyl tripeptide phosphatidylethanolamine), with Israeli firm Medison Pharma. The product, which has received Orphan Drug designation in the USA and European Union, stimulates the immune system to destroy cancerous cells, and has been shown to reduce the risk of death 30% in Phase III trials as a treatment for osteosarcoma. Under the terms of the deal, Medison, a privately-held drugmaker, will exclusively market the drug in Israel in exchange for an upfront license fee, milestone payments based on regulatory approvals and royalties derived from net product sales. IDM adds that it expects to receive regulatory approval for the product in the USA and EU in 2007.