Only a crock pulls a stunt like this one. They waited to bag the $5 mil then announced the lousy phase III results. I bet the Chinese are flabbergasted. That was truly unethical which tells you who those people are..
John, go back to playing in your Pollyanna sandbox: There have been hundreds of cash upfront partnerships over the last ten years that failed. Some were also done just days before a trial failure.
It comes with the territory. CLSN management DID NOT have the trial results at the time the deal was done: There is a paper trail that will prove this to the SEC, the Chinese pharma and their auditors and lawyers.
They knew about the bad results for months but would not release it to the public while kept releasing rosy news to fuel their stock. This is fraud; some hotshot investigative lawyer will dig the dirt out for the sake of the US shareholders and the Chinese, then the rest of house of card will crumble on top of their heads.
Direct from the 8K "Hisun agreed to pay Celsion $5 million within sixty days after the signing of the exclusive option agreement if it has not been terminated. The exclusive option agreement contemplated payments of an upfront license fee, milestone payments and royalties to Celsion if the exclusive license agreement were entered into. As a result of the termination, Celsion will not receive the $5 million payment or any future payment contemplated by the exclusive option agreement."
They pay 5 mil, win or lose. If they had won, it would have been a huge coup for Hisun. And now, they still basically get first right of refusal going forward with Celsion's products without paying any more.
Sounds like good business to me - for poth parties.