MONTREAL, CANADA and PETAH TIKVA, ISRAEL--(Marketwired - Aug 31, 2015) - Knight Therapeutics Inc. (GUD.TO) ("Knight"), a leading Canadian specialty pharmaceutical company, and Medison Biotech (1995) Ltd. ("Medison"), Israel's leading independent specialty pharmaceutical company, announced today a strategic collaboration in which the companies will join forces in their respective missions to bring innovative treatments to patients in Canada, Israel and Romania. The companies will maintain a structure that will scan and evaluate the productive Israeli pharma/biotech/device landscape on a regular basis and will provide them with the required resources necessary to incubate them until licensing or strategic sale. This partnership aligns well with Knight's strategy to (1) develop a footprint in select international markets such as Israel and (2) build a rich pipeline of innovative products for the Canadian market.
To solidify the partnership, upon the closing of the transaction, each company will become a significant shareholder of the other. Specifically, Knight will hold a 28.3% equity interest in Medison valued at $80 million [US$60 million] in exchange for approximately a 10% equity interest in Knight (10.33 million common shares of Knight to be held by Medison and its controlling shareholder). Up to an additional 660,000 Knight shares could be issued if Medison meets certain financial targets over the next two years. Jonathan Ross Goodman, President and CEO of Knight, will join Medison's Board of Directors while Meir Jakobsohn, Founder and CEO of Medison, will join the Knight Board of Directors. The transaction is subject to customary conditions including approval by the TSX of the issuance and listing of the Knight shares under the transaction. The transaction is expected to close during the second week of September.
Medison is a privately owned company founded in 1995. The company is focused on delivering innovative healthcare solutions to the Israeli and Romanian markets, starting from Early Access Programs to government registration and reimbursement, medical affairs, marketing and logistics. Medison is the exclusive Israeli partner for leading global pharma companies such as Amgen®, Biogen®, Shire® and Ipsen®. Medison's 2014 turnover is approximately USD$140 million with a portfolio of over 40 unique and innovative products, the vast majority are intended for patients with rare and severe diseases.
"Meir founded Medison the same year that I started Paladin Labs Inc. We embarked on the same strategy of representing innovative pharmaceuticals companies with products that touch the lives of patients," said Jonathan Ross Goodman. "We believe that the synergy created by this meaningful partnership, 15 years in the making, will lead to long-term value creation for both our respective shareholders, and, most importantly, will ultimately help improve the health of Canadians and Israelis alike."
"This partnership will enhance Medison's ability to screen the vast numbers of exciting and potentially breakthrough technologies being discovered at world-class Israeli academic and medical institutions. We expect this to be yet another unique and valuable service provided by Medison to our biotech/pharma partners," noted Meir Jakobsohn. "Medison has been active in the Israeli biotech industry. Our partnership with Knight and their investments in proven life sciences funds will help Medison secure innovative pharmaceuticals for the Israeli market to strengthen our leadership position to the benefit of patients."
Backed by three generations of experience in the healthcare industry since 1937, Medison is Israel's leading specialty pharmaceutical and therapeutic device company. Medison is focused on delivering innovative healthcare solutions to the Israeli and Romanian markets, including but not limited to early access programs, government registration and reimbursement, medical affairs, marketing and logistics. Medison is the exclusive Israeli partner for leading global pharma companies such as Amgen®, Biogen®, Shire® and Ipsen®. Medison also operates a fully owned subsidiary in Romania based on replicating its success in Israel, and currently represents Biogen®. For more information, please visit www.medisonpharma.com.
About Knight Therapeutics Inc.
Knight Therapeutics Inc., headquartered in Montreal, Canada, is a specialty pharmaceutical company focused on acquiring or in-licensing innovative pharmaceutical products for the Canadian and select international markets. Knight's shares trade on TSX under the symbol GUD. For more information about Knight Therapeutics Inc., please visit the Company's web site at www.gud-knight.com or www.sedar.com.
This document contains forward-looking statements for Knight and its subsidiaries. These forward looking statements, by their nature, necessarily involve risks and uncertainties that could cause actual results to differ materially from those contemplated by the forward-looking statements. Knight considers the assumptions on which these forward-looking statements are based to be reasonable at the time they were prepared, but cautions the reader that these assumptions regarding future events, many of which are beyond the control of Knight and its subsidiaries, may ultimately prove to be incorrect. Factors and risks, which could cause actual results to differ materially from current expectations are discussed in Knight's Annual Report and in Knight's Annual Information Form for the year ended December 31, 2014. Knight disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information or future events, except as required by law.