AVEO Pharmaceuticals, Inc. (NASDAQ:AVEO) announced recently the receipt of over $4 million research and development related payment from EUSA Pharma to facilitate the approval of FOTIVDA® (tivozanib), for treatment of adult patients suffering from the advanced renal cell carcinoma across the Europe. At the same time, the company received a $500,000 milestone funds from the CANbridge Life Sciences Ltd for production activities that support the development of AV-203, the AVEO’s key clinical-stage ErbB3 (HER3) inhibitory antibody candidate.
The AV-203 had demonstrated the preclinical positive results in various tumor models in breast, lung, ovarian, head and neck, and pancreatic cancer conditions. As a result, CANbridge is supporting the clinical development of an antibody appropriate for commercialization which will be the potential treatment for cell esophageal tumor at its initial indication.
According to Michael Bailey, president and CEO of AVEO, the payments will significantly strengthen the company’s balance sheet and help in emphasizing the value of partnering in advancing the key health-related studies. Furthermore, the latest payments will help fund the core operational activities of the company up to its fourth quarter of next year. The firm expects to add more key milestones in the near future, including the anticipated presentation of tivozanib-nivolumab combination from the ongoing Phase I TiNivo study and the reporting of the pivotal Phase 3 results from TIVO-3 trial in the 1st quarter of next year.
AVEO intends to continue with the two programs as they wait for other partnered pipeline including the AV-380, an advance treatment for cachexia, ficlatuzumab, among others. Also, the advanced programs will enable the company to focus on the development of tivozanib in support of its licensee, EUSA Pharma as one of the requirements of the European regulations.
Last year, the company announced a collaboration and license agreement with CANbridge for international rights to AV-203, with an exclusion of the US, Canada, and Mexico. Under the terms of the agreement, AVEO received $1 million upfront payment from CANbridge. Also, AVEO was expected to obtain up to #133 million reimbursement and milestone payments from CANbridge if they successfully meet the specified development, regulatory, and commercialization aims.
