Avecho and Sandoz enter exclusive license and development agreement to commercialise CBD for insomnia in Australia
Avecho has announced that it has signed an exclusive 10-year development and licensing agreement with Sandoz Group AG for the commercial rights to Avecho’s Phase III CBD capsule for insomnia in Australia.
Under the deal, Avecho will receive a US$3M upfront licensing fee for the exclusive commercial rights in Australia, development milestone payments totalling US$16M prior to commercialisation, and royalties on net sales once on market. Avecho retains the rights to commercialise the product in all other territories, with Sandoz granted a first right of refusal for these markets.
Avecho CEO, Dr Paul Gavin, said:
“We are excited to announce this partnership with Sandoz, which underscores the commercial potential of Avecho’s drug delivery platform and our shared commitment to deliver innovative insomnia treatments. Sandoz’s extensive reach and expertise in the Australian market will ensure our products are widely accessible to insomnia patients across Australia. This partnership provides Avecho with a strong commercial foundation for success.”