This stage has triggered a payment of £500,000 to the LSE-listed pharma company.
Speaking to Vox Markets this morning, Nuformix CEO Dr. Dan Gooding said the news "basically means that the whole premise of Nuformix is validated".
The milestone, and payment, is in accordance with its agreement with Chinese development partner, Newsummit Biopharma (NSB).
If Nuformix demonstrates human bioequivalence for NXP001 it will trigger a further £2m payment from Newsummit Biopharma.
Newsummit Biopharma is a Shanghai-based pharma business founded in 2001, now part of Zhejiang Yatai Pharmaceuticals - a Chinese listed pharmaceutical company (SHE:002370) - and owns exclusive rights to market and distribute NXP001 in China.
Speaking about the significance of the news, Dr. Dan Gooding told Vox Markets: "What's key is that our market partner is still absolutely committed to commercialising the product and happy to pay the milestone.
"Their acceptance to pay the milestone demonstrates that our technology is working, demonstrates that our business model is working and means that because of our lean burn model, we don’t need to raise money in the near term to make further meaningful progress.
"It basically means that the whole premise of Nuformix is validated."
Nuformix uses cocrystal technology to unlock the therapeutic potential of approved small molecule drugs.
With NXP001, the company is developing a generic version of an existing product in the oncology supportive care market.
To follow news & updates about Nuformix click here:
Speaking about NXP001, Dr. Gooding said: “Making a generic orally efficacious version of this product is firstly really technically difficult, yet its further complicated by existing formulation patents. We’ll be allowing drug companies to enter an attractive market that they currently can’t access without infringing any existing IP.
“So once we’ve shown we can deliver the drug effectively, we can continue to commercialise the product in various georgaphies. And that’s what our first deal on NXP001 with NSB is all about.”
Asked about the next stage for Nuformix and NXP001, Dr. Gooding said: "There is not so much a next stage for NXP001, but an on-going process. We’re working hard towards securing human pilot bioequivalence data at Quotient Sciences and that remains on track.
"When we’ve demonstrated human bioequivalence, this raises another £2m in milestone payments, which we’ll be reinvesting into R&D and progressing our wider portfolio – the earlier stage assets in our portfolio are the key future value drivers for Nuformix.
"Demonstration of human bioequivalence is also the key to concluding further out-licensing deals for Rest of World rights to NXP001, again funds which we will redeploy using our de-risked development model to demonstrating how Nuformix’s broader cocrystal technology portfolio can address unmet needs in conditions such as fibrosis, which I’m sure investors can identify as a sector of immense commercial value."
Read our August interview with Dr. Gooding here, and follow news & updates about Nuformix here:
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