Advanced Oncotherapy (AIM: AVO), the developer of next-generation proton therapy systems for cancer treatment, announces that discussions between Yantai Cipu, through its affiliated entity Liquid Harmony, and
a major medical equipment and pharmaceutical distribution company in China are continuing beyond the previously announced date of 31 March 2018.
As announced on 16 February 2018, Yantai Cipu informed the Company that they are in advanced negotiations with a major medical equipment and pharmaceutical distribution company in China to accelerate and strengthen their market access in the People’s Republic of China, Hong Kong, Macau, Taiwan and South Korea (the “Territories”).
In a statement from Liquid Harmony, the company said: “We have decided to accelerate our refocus on innovative and breakthrough technology. Following a very thorough due diligence, we have found that Advanced Oncotherapy possess all of the right attributes and fundamentals on which we can build upon our strategy: a differentiated technology supported by a team with a great track-record, and uniquely positioned to address the paradigm shift in cancer treatment and the strong demand that we see. Our discussions with a major medical equipment and pharmaceutical distribution company are ongoing and with a significant stake in Advanced Oncotherapy we are confident that a successful conclusion will have considerable long term benefits for the Company in these Territories. These discussions are progressing, and we look forward to the next steps with great confidence and hope for all patients who deserve the right cancer treatment.”
Advanced Oncotherapy has been provided assurance that regardless of the outcome of the negotiations, Yantai Cipu, and its affiliated entity Liquid Harmony, are contractually committed to the terms of the Distribution Agreement which includes the receipt of the £16,500,000 payment relating to the commercial agreement announced on 7 December 2017.