IntelGenx Corp.(IntelGenx) and RedHill Biopharma Ltd., an Israeli corporation (RedHill) announced that they have entered into a co-development and commercialization agreement for IntelGenx' first oral thin film product based upon the IntelGenx' proprietary VersaFilm technology. The product is intended for the rapid relief of migraine.

Under the terms of the definitive co-development and commercialization agreement, RedHill has obtained certain exclusive worldwide rights to market and sell IntelGenx' rapidly dissolving anti-migraine oral film product. In exchange IntelGenx will receive upfront, milestone, and external development fees totalling up to $2.1 million from RedHill. RedHill will also be responsible for regulatory filing fees, if necessary. Furthermore, upon commercialization of the product, IntelGenx could receive, depending on the circumstance, up to 75 per cent of all proceeds including, but not limited to, all sales milestones and income from the product world-wide.

Dr Horst G. Zerbe, president and chief executive officer of IntelGenx, stated: "We are pleased to be working with RedHill on our anti-migraine film product. This partnership helps validate and accelerate IntelGenx' VersaFilm technology, while providing IntelGenx with additional resources to meet our ongoing strategic objectives in developing additional oral film products."

Dror Ben-Asher, CEO of RedHill, stated: "We are delighted to have reached this deal with IntelGenx and are looking forward to a successful collaboration. We believe the anti-migraine film product based on IntelGenx' VersaFilm technology has significant potential and are committed to completing its development as quickly as possible."

In the fourth quarter of 2009 IntelGenx announced the results of a clinical pilot study that suggests IntelGenx has successfully developed a product that is bioequivalent to a leading branded anti-migraine therapy. The product has been developed using IntelGenx' proprietary immediate release film VersaFilm drug delivery technology. VersaFilm provides a patent-protected method of formulating in a convenient and discrete dosage form.

IntelGenx Corp. is a drug delivery company focused on the development of oral controlled-release products as well as novel rapidly disintegrating delivery systems.

RedHill Biopharma is a privately held Israeli pharmaceutical company focused primarily on acquisition and development of late clinical-stage, new and proprietary formulations of existing drugs.