Resonance Health Gets Expanded Collaboration Extension from Sun Pharma

The extension gives Sun Pharma exclusive right to develop and commercialize Resonance’s lead candidate drug RHT-310

Resonance Health Limited (ASX: RHT) has secured a significant win after signing an exclusive collaboration and license agreement with Indian pharmaceutical giant, Sun Pharmaceutical Industries Ltd. (BSE: 524715) (“Sun Pharma”).

The agreement was sealed on Wednesday, March 8th, 2023, and concerns Resonance’s lead drug candidate, RHT-310. This is a Phase 2, first-in-class anti-cancer drug that works by inhibiting the TET2 and EZH2 proteins.

Sun Pharma will be responsible for the development and commercialization of RHT-310 in all countries worldwide, except for Australia and New Zealand which will remain territories for Resonance.

Resonance will receive an upfront payment of $5 million and is eligible for potential milestone payments of up to $347 million if certain predetermined development, regulatory, and sales targets are met.

Resonance will also receive tiered royalties on net sales of RHT-310, ranging from mid-single to low-double digits.

The collaboration with Sun Pharma is expected to accelerate the development and commercialization of RHT-310, bringing this promising cancer treatment to market sooner.

This is a major step forward for Resonance Health, and the company’s share price increased by 25% after the announcement.

The agreement between Resonance Health and Sun Pharma is a testament to the potential of RHT-310 and the Stärke of Resonance’s drug development capabilities.