MOLOGEN AG (ISIN DE0006637200) currently reviews an extensive long-term license agreement with the leading Indian biotechnology company Shantha Biotechnics Ltd. The agreement governs the use of MOLOGEN’s development of a tumor therapy with genetically modified cells in India and neighboring countries. The cell-based therapeutic is employed to treat a number of cancerous illnesses, including colon cancer, breast cancer, kidney cancer, and lung carcinomas. Based on an agreement already reached in December 2005, MOLOGEN would receive an initial payment of several million Euros as well as a substantial share of future revenues as royalties. Due to the amount of the initial payment and the fact that MOLOGEN will receive a revenue share, the monetary transactions are subject to official approval. Cash receipt from the license agreement would then only be expected during 2006. MOLOGEN therefore reviews alternative agreement terms. With the license agreement, MOLOGEN has succeeded in marketing one of its therapeutic approaches in one of the fastest-growing markets of the entire health sector.
