The Starpharma Holdings Limited (ASX: SPL) share price is pushing higher this morning following the release of an update on its VivaGel product.
At the time of writing its shares have avoided the market selloff and are up 0.5% to $1.01.
What did Starpharma announce?
This morning the dendrimer products developer revealed that the launch of its VivaGel antiviral condom by Okamoto Industries in Japan has gone very well. This has led to Okamoto requesting an expansion to its licence territory.
According to the release, this request has been granted and Okamoto now has the marketing rights for the VivaGel condom in a further 11 countries in Asia. These include South Korea, Indonesia, Malaysia, Thailand, Singapore, and the non-government China market.
The company notes that Okamoto holds strong condom market positions in the region, with a number 1 or 2 ranking in several relevant Asian countries. It is currently generating revenue of approximately US$1 billion and is Japan's leading marketer of condoms.
What now?
This licence means Starpharma will be eligible to receive royalties on sales of the VivaGel condom and will also receive revenue from the supply of SPL7013 active. Okamoto will be responsible for regulatory submissions, marketing, and other related costs.
Starpharma's CEO, Dr Jackie Fairley, was pleased to see the product expanded into other Asian countries.
She said: "Following the Japanese launch of VivaGel antiviral condom under Okamoto's highly successful Zero Zero Three (003) brand, we are pleased that Okamoto has sought an expansion of its licence to a further 11 countries in Asia. Okamoto has an outstanding product portfolio and leading market positions in a number of these countries across the Asian region. We're excited to continue building our relationship with Okamoto and bringing this highly innovative product to additional Asian markets as soon as possible."
This sentiment was echoed by Okamoto's senior managing director, Kunihiko Okamoto.
He said: "We are pleased with the launch of the VivaGel Zero Zero Three (003) condom in Japan and are excited to be expanding our licence for this innovative product into these other important Asian markets. We look forward to expanding our relationship with Starpharma for this innovative product."
