Hutchison China MediTech Limited (Chi-Med) announced that its majority owned drug R&D company, Hutchison MediPharma Limited (HMP), is set to receive a total of US$ 18 million in payments, in the second quarter of 2015, from Eli Lilly and Company (Lilly).
The payments have been triggered by the positive result of the first proof-of-concept (POC) study of fruquintinib in the treatment of patients with metastatic colorectal cancer (mCRC) in China. Fruquintinib, a novel selective inhibitor of the Vascular Endothelial Growth Factor (VEGF) receptor tyrosine kinases, was discovered by HMP. Full details of the mCRC POC results will be published at a major medical meeting later this year.
Pursuant to the licensing, co-development, and commercialisation agreement entered into by HMP and Lilly in October 2013, HMP will receive a US$ 10 million mCRC POC milestone. In addition, HMP will receive a total of US$ 8 million in reimbursements for costs associated with the planning and launch of the FRESCO phase III mCRC registration study in China, as well as for the establishment of related clinical supply production facilities in Suzhou, Jiangsu province in China.
Christian Hogg, chief executive officer of Chi-Med said: "We are very glad to have formally reached POC on mCRC, the first potential indication for fruquintinib. Our collaboration with Lilly is of great importance to HMP, and we look forward to continuing to work together to make fruquintinib a great success in the coming years."
Fruquintinib is designed to selectively inhibit VEGF receptors, namely VEGFR1, VEGFR2 and VEGFR3. Angiogenesis is an important mechanism in tumour pathogenesis, and inhibition of VEGF-mediated angiogenesis has been important in the treatment of a variety of cancers.
In October 2013, HMP entered into a licensing, co-development and commercialisation agreement with Eli Lilly and Company for fruquintinib.
In December 2014, HMP initiated FRESCO, a phase III registration study in patients with mCRC, who have failed at least two prior systemic antineoplastic therapies, including flouropyrimidine, oxaliplatin and irinotecan. FRESCO will enrol more than 400 patients in 25 centres in China, with top-line results expected in 2016.
Chi-Med is a China-based healthcare group focused on researching, developing, manufacturing and selling pharmaceuticals and health-related consumer products.