LungExpress Dx is a proprietary gene expression-based test to improve upon staging for identifying those patients with early-stage non-small-cell lung cancer (NSCLC) who, following surgical removal of their tumor, are at higher and lower risks of mortality.
Under terms of the agreement, Precision will pay to MBI within 120 days of closing license fees and research reimbursement of $2.3m, half of which is credited against future royalties that may be owed to MBI by Precision.
In addition, MBI is eligible to receive up to $1m in payments based on achievement of certain milestones associated with the development and commercialization of LungExpress Dx, all of which are credited against future royalties that may be owed to MBI by Precision.
MBI will receive royalty payments based on a market percentage rate of Precision’s future revenues associated with the commercialization of LungExpress Dx or any other products incorporating MBI’s technology.
Precision is responsible for all future costs associated with the development and commercialization of LungExpress Dx.
Precision president and CEO Sean McDonald said LungExpress Dx will be a synergistic and important addition to ChemoFx.
LungExpress Dx identifies early stage patients who have a poor prognosis and may benefit from chemotherapy and ChemoFx quantifies an individual patient’s probable tumor response to various chemotherapeutic and biologic agents," McDonald said.
MBI CEO Erinn Broshko said they expect LungExpress Dx to be the first multi-gene prognostic test available commercially for non-small-cell lung cancer and to provide patients and doctors with an important tool to address a critical unmet need.
LungExpress Dx is being developed in collaboration with a team of researchers and physicians at Princess Margaret Hospital, University Health Network in Toronto.
