ORMP: Distribution Deals, JVs in Anticipation of Commercializing ORMD-0801
By M. Marin
NASDAQ:ORMP
READ THE FULL ORMP RESEARCH REPORT
JV with HTIT to help commercialize ORMD–0801 …
Oramed Pharmaceuticals (NASDAQ:ORMP) continues to advance its proprietary oral protein delivery platform and is researching the technology potentially to treat diabetes, NASH (nonalcoholic steatohepatitis (NASH), and obesity, as an appetite suppressant, and a COVID vaccine, among other possible applications. To maximize its research and development and anticipated commercialization efforts, Oramed has entered into joint ventures (JVs) and distribution deals in recent quarters.
For example, Oramed has signed a non-binding term sheet with Hefei Tianhui Biotechnology Co. (HTIT) to establish a JV based on Oramed’s oral drug delivery technology focusing on development and commercialization of innovative products based on Oramed’s oral insulin and POD™ (Protein Oral Delivery) pipeline globally, leveraging HTIT’s manufacturing capabilities and technologies. HTIT is a high-tech company focused on biopharmaceutical product manufacturing and R&D with an emphasis on the oral delivery of therapeutic macromolecules. HTIT operates an oral insulin manufacturing facility located in Hefei, China. Each of the JV partners would initially own a 50% share in the JV and have equal representation on the JV board. HTIT and Oramed are expected to make initial investments of $60 million and $10 million, respectively.
ORMD–0801 potential treatment for diabetes, NASH …
Oramed’s lead asset ORMD-0801 is being evaluated as an oral insulin treatment for Type 1 (T1D) and Type 2 (T2D) diabetes, as well as for NASH. The company believes that ORMD-0801 potentially could represent an innovative way to treat T2D through the oral delivery of insulin at an earlier stage of treatment than current delivery methods. In turn, providing earlier treatment could potentially slow the progression of the disease and delay late-stage complications.
The company believes there is significant opportunities for an oral insulin treatment. For example, in China, about 10% of the adult population in China have diabetes, according to the World Health Organization (WHO). Separately, Oramed has also signed an exclusive distribution agreement with Medicox for ORMD-0801 in South Korea, where about one in seven adults suffers from diabetes, according to NIH.
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