Kane Biotech Provides Update on Exclusive License and Distribution Agreement with Dechra Veterinary Products
Agreement with Dechra leads to Growing Royalty Revenues Following Product Expansion, Growing Sales Demand and Broader Veterinary Approval
WINNIPEG, Manitoba, April 30, 2019 (GLOBE NEWSWIRE) -- Kane Biotech Inc. (TSX-V:KNE), (the “Corporation” or “Kane Biotech”), a biotechnology company engaged in the research, development and commercialization of technologies and products that prevent and remove microbial biofilms, today provides an update on its Exclusive License and Distribution Agreement with Dechra Veterinary Products LLC (“Dechra”), a wholly-owned subsidiary of Dechra Pharmaceuticals PLC (LSE:DPH). Kane Biotech receives an ongoing royalty from Dechra on net sales of its Vetradent Products in North America under the terms of this 10-year Agreement, previously announced in March 2017,
Royalty revenues from Dechra have steadily increased in early 2019 and Kane expects the growth to continue as the Vetradent line recently received broader approval when it was added to the formulary of major American veterinary groups. In addition, Dechra is currently planning to continue expansion of the Vetradent line to include three new products. It will be adding a rawhide chew as well as toothpaste over the summer, in addition to the bulk powder water additive added in December 2018.
Marc Edwards, CEO of Kane Biotech, stated, “The first quarter of 2019 was a record quarter for Vetradent sales. We are delighted by Dechra’s efforts to secure increased adoption by major veterinary groups, as well as a product line expansion. I am confident that Kane will continue to reap the benefits of this progress through growing royalty revenue, which is anticipated to continue to steadily increase as Dechra introduces new products. To support this sales growth, we will implement a number of initiatives, including new clinical trials and a renewed commitment to a Veterinary Oral Health Council (VOHC) study, over the next 18 months.”
Mike Eldred, President of North American Operations at Dechra Veterinary Products, commented, “We are very encouraged by the recent transformation that Kane Biotech has undergone and are excited about the Company’s new products. Kane’s contribution to the expansion of the Vetradent line allows Dechra to offer one of the most comprehensive oral care lines currently available in the veterinary channel, providing customers with adaptable and easy-to-use solutions for their pets.”
Dechra is an international veterinary pharmaceutical company with expertise in the development, manufacture, sales and marketing of high-quality products for veterinarians worldwide. As part of the License and Distribution Agreement, Kane Biotech has agreed to exclusively license its StrixNB™ and DispersinB® oral care and dermatology products to Dechra for commercialization in the North American veterinary market.
About Kane Biotech
Kane Biotech is a biotechnology company engaged in the research, development and commercialization of technologies and products that prevent and remove microbial biofilms. The Corporation has a portfolio of biotechnologies, intellectual property (66 patents and patents pending, trade secrets and trademarks) and products developed by the Corporation’s own biofilm research expertise and acquired from leading research institutions. StrixNB(TM), DispersinB(R), Aledex(R), bluestem(TM), AloSera(TM), coactiv+(TM) and Kane(R) are trademarks of Kane Biotech Inc. The Corporation is listed on the TSX Venture Exchange under the symbol "KNE".
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Caution Regarding Forward-Looking Information
This press release contains certain statements regarding Kane Biotech Inc. that constitute forward-looking information under applicable securities law. These statements reflect management’s current beliefs and are based on information currently available to management. Certain material factors or assumptions are applied in making forward-looking statements, and actual results may differ materially from those expressed or implied in such statements. These risks and uncertainties include, but are not limited to, risks relating to the Company’s: (a) financial condition, including lack of significant revenues to date and reliance on equity and other financing; (b) business, including its early stage of development, government regulation, market acceptance for its products, rapid technological change and dependence on key personnel; (c) intellectual property including the ability of the Company to protect its intellectual property and dependence on its strategic partners; and (d) capital structure, including its lack of dividends on its common shares, volatility of the market price of its common shares and public company costs. Further information about these and other risks and uncertainties can be found in the disclosure documents filed by the Company with applicable securities regulatory authorities, available at www.sedar.com. The Company cautions that the foregoing list of factors that may affect future results is not exhaustive.
Released April 30, 2019