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Isofol Medical: Licensing deal for Canada - DNB

Isofol Medical today announced it has entered into a licensing agreement with Paladin Labs for the commercialisation of arfolitixorin. Isofol is entitled to up to cSEK205m in upfront and milestone payments, and double-digit royalties. However, like the previous deal, the company is tight-lipped about the deal structure. On our valuation, there should be only potential upside to this deal as it incurs no more costs and leaves the door to a global licensing deal open. We have not updated our out-licensing scenario, hoping for a clearer picture in the Q3 report. We reiterate our fair value of SEK10–23.

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