Unilife Corp. (UNIS) announced the signing of a Customization and Commercial Supply Agreement with a U.S. pharmaceutical company for the EZMix dual-chamber syringe. Unilife will supply the Customer with a customized device from its EZMix platform of dual-chamber delivery systems for use with a lyophilized drug that requires mixing at the time of injection. Unilife expects to generate up to $110 million in revenue during the 15-year agreement based upon a customization and production scale-up program, commercial device sales and a royalty of net drug sales. Unilife will immediately begin to generate revenues under the program.
The Customer will pay Unilife approximately $3 million over a 12 to 24-month period for the customization and supply of prefilled EZMix devices for scheduled activities including human clinical drug trials and compatibility testing. Unilife will receive an additional $3 million from the Customer to fund the production scale-up of high-volume assembly equipment to manufacture the customized device at commercial volumes.
In exchange for the Customer securing worldwide exclusivity to EZMix for its target drug, Unilife will receive royalty payments on net annual commercial revenue of the drug. The agreement includes a guaranteed minimum annual royalty payment that the Customer must provide to Unilife in order to maintain EZMix exclusivity for the target drug.
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