QLT Inc signs license agreement with Reckitt Benckiser Pharmaceuticals Inc for Atrigel technology

Aug 27, 2008 (M2 EQUITYBITES via COMTEX) -- RBGPF | Quote | Chart | News | PowerRating -- Biopharmaceutical company QLT Inc (NASDAQ: QLTI | Quote | Chart | News | PowerRating) (TSX: QLT | Quote | Chart | News | PowerRating) said on 26 August that its wholly-owned subsidiary, QLT USA Inc, has exclusively licensed its Atrigel sustained-release drug delivery technology to Reckitt Benckiser Pharmaceuticals Inc, except for certain rights being retained by QLT USA and its prior licensees.

QLT USA, following the terms of the license agreement and related asset purchase agreement, received an aggregate upfront payment of USD25m and may receive potential milestone payments of up to USD5m based on the successful development of two Atrigel-formulated products.

The agreement also provided Reckitt with 18 employees from QLT USA as well as the latter's corporate facility located in Fort Collins, Colorado.

Reportedly, the Atrigel drug delivery system consists of biodegradable polymers dissolved in biocompatible carriers. Pharmaceuticals may be blended into this liquid delivery system at the time of manufacturing or, depending upon the product, may be added later by the physician at the time of use.

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