LAS VEGAS, April 24 /PRNewswire-FirstCall/ -- CardioVascular BioTherapeutics, Inc. (OTC Bulletin Board: CVBTE) has entered into an agreement with Mr. Phillip Frey Jr. to form Cardio Derma Clinical Partners (CDCP), an R&D Partnership. Mr. Frey, as sponsor and general partner, will fund a minimum of $1,000,000 and up to $5,000,000 of the clinical development of CVBT's wound healing drug candidate.
"R&D Partnerships have been successfully used in the past by some of today's biggest names in biotechnology to fund drug development. Many investors in these R&D Partnerships realized income tax advantages and have earned outstanding returns on their investments," said Mr. Phillip Frey Jr. He continued, "CVBT and Cardio Derma Clinical Partners are going back to these basics in an effort to advance this drug candidate."
CDCP will engage CVBT in a development agreement to conduct its wound healing clinical trial. CVBT will pay a royalty to CDCP of 10% of revenues or other moneys received from the commercialization of the drug candidate up to a maximum of ten times (10x) the funded amount of the development agreement in return for the intellectual property created. Additionally, CDCP will acquire warrants, the number of which is dependent upon the funded amount of the development agreement, to purchase CVBT common shares at an exercise price of $1.00 per share with a term of five years. Daniel C. Montano, CVBT's President and CEO, has agreed to personally provide the individual partners of CDCP a Put to Mr. Montano for their interest in CDCP equal to 200% of their investment in CDCP less distributions paid from CDCP commencing 36 months and ending 60 months after their investment in CDCP.
CVBT's pipeline includes drug candidates for the treatment of various
cardiovascular diseases, including severe coronary heart disease, diabetic
wounds, peripheral arterial disease, chronic back pain and bone repair. "We
anticipate knowing whether we will meet the e
|SOURCE CardioVascular BioTherapeutics, Inc.|
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