BALTIMORE, March 24, 2011 /PRNewswire/ -- Champions Biotechnology, Inc. (OTC: CSBR) ("Champions") announced today the signing of a technology collaboration agreement with Cephalon, Inc. in which Champions will conduct low passage Tumorgraft™ studies on two proprietary chemical compounds, CEP-32496, an inhibitor of mutant B-Raf, and CEP-37440, a selective dual ALK-FAK inhibitor, provided by Cephalon to determine the activity or response in potential clinical indications. The results of these studies will be used to inform the future clinical development path of these compounds.
Cephalon will pay Champions an initiation fee of $1,390,000 by April 15, 2011, and will, under certain conditions, also pay Champions various amounts upon achieving certain milestones. Potential milestone payments under the Agreement total $27 million. In addition, under certain conditions, Cephalon will pay Champions royalties on any commercialized products developed under the Agreement.
Guy Malchi, Champion's head of corporate development commented, "This is our largest Translational Oncology Services contract to date and provides us with a great foundation for strong revenue growth for our next fiscal year. We are very excited to be partnering with an innovative company like Cephalon that can utilize our technology to improve the process of oncology drug development. The potential for future milestone and royalty payments in these contracts will allow us to capture a portion of the financial upside our technology generates for our customers. We hope this is just the beginning of a productive and long term partnership between our companies."
Jeffry Vaught, Cephalon's Executive Vice President for R&D said, "Our collaboration with Champions Biotechnology significantly compliments our oncology discovery capabilities by providing wider access to more clinically relevant and predictive pre-clinical oncology models. In ad
|SOURCE Champions Biotechnology, Inc.|
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