Nuance Pharma, a China-based pharmaceutical company, has received a favorable arbitration verdict from a Singapore arbitration court in a dispute with Canada’s Antibe Therapeutics (OTCMKTS: ATBPF). The arbitration centered on a February 2021 agreement where Nuance acquired development and commercial rights for Antibe’s otenaproxesul (ATB-346), an innovative pain relief drug designed to reduce ulcer risks associated with long-term non-steroidal anti-inflammatory drugs (NSAIDs), in China and the Asia-Pacific region.
After an initial payment of USD 20 million as part of a deal valued up to USD 80 million, Nuance discovered significant risks of transaminase elevations associated with otenaproxesul. Nuance alleged that Antibe failed to disclose these safety issues, constituting a breach of the agreement. The case was brought to the Singapore International Arbitration Centre, which has now ruled to rescind the license deal, with Antibe required to return the upfront fee of USD 20 million plus USD 4 million in costs.
Antibe’s press release characterized the outcome as “unexpected” and “highly unusual based on best practices for licensing deals in the biotech industry.” Despite the setback, Antibe stated that it remains on schedule to initiate a Phase II trial for otenaproxesul later this year.- Flcube.com
