TiGenix : licenses exclusive marketing and distribution rights for ChondroCelect to Sobi

Regulated information 3 April, 2014

TiGenix licenses exclusive marketing and distribution rights for ChondroCelect to Sobi

Sobi to assume responsibility for the commercialisation of ChondroCelect in existing and new markets in Europe and beyond

Sobi's considerable expertise and resources will enhance the availability of ChondroCelect to many more patients in many more countries

TiGenix to focus its resources on developing its pipeline of allogeneic treatments using expanded adipose-derived stem cells (eASC's)

Leuven (BELGIUM) - 3 April, 2014 -TiGenix NV (Euronext Brussels: TIG), the European leader in cell therapy, announced today that it has licensed the marketing and distribution of ChondroCelect, the cell-based medicinal product for the repair of cartilage defects of the knee, to the international specialty healthcare company dedicated to rare diseases, Swedish Orphan Biovitrum AB ('Sobi', NASDAQ OMX Stockholm: SOBI).

ChondroCelect was the first cell-based product to be approved in Europe. It is currently available for patients and reimbursed in Belgium, the Netherlands and Spain. Sales of ChondroCelect in 2013 were Euro 4.3 million, a growth of 25% on a like-for-like basis over 2012.

Sobi will continue to market and distribute the product where it is currently available and has also acquired the exclusive rights to expand the product's availability to patients in multiple additional territories, including the rest of the European Union, Norway, Switzerland, Turkey, and Russia, plus the countries of the Middle East and North Africa.

TiGenix will receive a royalty of 22% of the net sales of ChondroCelect in the first year of the agreement, and 20% of the net sales of ChondroCelect thereafter. There will be no upfront or milestone payments. The agreement will take effect on 1 June 2014, and has a duration of 10 years.

"We are delighted to reach this agreement with Sobi", said Eduardo Bravo, CEO of TiGenix. "With its experience of marketing and distributing specialty products, and with its human and financial resources, Sobi has the ability to bring ChondroCelect to a far greater number of patients in many more countries. This then allows TiGenix to focus its human and financial resources on the development of its platform and pipeline of allogeneic treatments using expanded adipose-derived stem cells (eASC's) for the benefit of patients suffering from a range of inflammatory and immunological conditions."

Link:
TiGenix : licenses exclusive marketing and distribution rights for ChondroCelect to Sobi