Known for its clinical expertise, infrastructure, high population density, and government support, South Korea has ascended to the pinnacle of global clinical study locations thus has been chosen by life science company Invion (ASX: IVX) as its next destination of exclusive territory in deploying Photosoft technology to treat all cancer types.
Ranked second in hospital density among OECD countries, South Korea offers a swift and high-quality clinical trial environment. The country’s advanced healthcare system, featuring top-tier hospitals in cities like Seoul, Busan, and Incheon, provides universal coverage and is closely monitored by the government. These factors made South Korea a natural choice for Invion to introduce its cancer treatment technology.
Invion uses Photosoft technology to improve the treatment of skin and solid cancers with minimal side effects. It works by activating drugs with a specific light, targeting cancer cells while sparing healthy ones. This light triggers a reaction, producing oxygen that destroys cancer cells without harming nearby tissue.
Commenting on the licensing deal, Invion’s Executive Chair and Chief Executive Officer, Thian Chew, said: “The agreement provides an opportunity for Invion to expand its territories in the Asia Pacific region as we look to enhance shareholder value through the development of Photosoft, which has the potential to become an important cancer treatment option.”
Chew also mentioned that the timing of this agreement aligns with Invion’s plans to start human trials for Photosoft. Promising preclinical results indicate Photosoft’s ability to reduce cancer size, stimulate immune responses, and prevent cancer spread.
Invion holds exclusive rights to distribute and licence Photosoft technology in Australia and New Zealand from RMW Cho Group (RMW). RMW is providing non-dilutive funding for Photosoft research and clinical trials through an R&D agreement with Invion. As part of this arrangement, Invion will pay RMW $0.9 million to cover previous development costs related to making Photosoft cancer treatment available in South Korea.
Invion will split 50% of upfront fees, milestone payments, or royalties from sublicensing and availing Photosoft in South Korea with RMW. Invion and RMW will share expenses for non-clinical cancer-related work in South Korea, with Invion covering 25% and RMW covering 75%. For clinical work, the split is 75% by Invion and 25% by RMW. RMW, however, has the option to revoke Invion’s distribution rights in South Korea for cancer applications by providing fair compensation to Invion of at least $1.8m.
South Korea has a lucrative and growing oncology market that is expanding at 12.6% CAGR and is expected to reach US$7.4 billion by 2030. According to a study by market research firm Insights10, cancer rates in South Korea have been rising due to factors like an ageing population and changing lifestyles, which is a trend seen in many countries within Invion’s exclusive territories.
Invion has exclusive rights to Photosoft for the treatment of cancers for all Asia Pacific countries excluding Greater China, Macau, Taiwan and Japan.
Invion is a life science company that specialises in Photosoft technology, a novel Photodynamic Therapy (PDT) for treating various cancers, atherosclerosis, and infectious diseases. This approach is claimed to be less invasive than surgery and has minimal side effects, offering an alternative treatment for complete tumour regression and long-term remission.
In the financial year ending 30 June 2023, Invion generated a $4.1m revenue, up 24.7% compared to $3.2m revenue in FY22. Net Loss After Tax (NLAT) was improved by 28% from $2.2m loss in FY22 to $1.6m loss in FY23. Invion ended the financial year with $4m cash at the bank.
Read more about Invion on our latest edition of annual biotechnology report.
Clara is a Business Reporter for The Sentiment.
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