Generex Biotechnology Announces Middle Eastern Licensing Agreement for Generex Oral-lyn(TM)Monday April 23, 9:45 am ET
Leading Middle Eastern Distributor of Healthcare Products to Offer Generex Oral-lyn in 15 Countries
WORCESTER, MA--(MARKET WIRE)--Apr 23, 2007 -- Generex Biotechnology Corporation (NasdaqCM:GNBT - News), the leader in drug delivery for metabolic diseases through the inner lining of the mouth, announced today that it has entered into an exclusive Master Product Licensing & Distribution Agreement with Leosons General Trading Company, a leading distributor of North American products in the Middle East, for the commercialization of Generex Oral-lyn, the Company's proprietary oral insulin spray product, in 15 Middle Eastern countries, including Saudi Arabia and the United Arab Emirates (UAE). In lieu of Generex receiving an upfront license fee, Leosons will bear any and all costs associated with the procurement of governmental approvals for the sale of the product, including any clinical and regulatory costs. The Agreement obligates Leosons to file all requisite applications for the approvals by the fall of 2007. ADVERTISEMENT According to the International Diabetes Federation, the UAE has the second highest rate of diabetes in the world, affecting 70% of residents. Other Gulf states also have significant diabetes problems, with Saudi Arabia ranked third, Bahrain fourth, Kuwait fifth, and Oman sixth. Leosons General Trading Company, based in the United Arab Emirates, will procure all Middle Eastern governmental approvals for the importation and sale of Generex Oral-lyn. Thereafter, Leosons will market and sell the product through its extensive distribution network in the region. Leosons will, at its sole expense, design and implement plans for the education and training of patients and physicians in respect of the Company's RapidMist(TM) Diabetes Management System and the marketing, distribution, and sale of Generex Oral-lyn in the region. Leosons will also be obligated to achieve minimum quarterly sales of the product.
"We are delighted to have licensed Generex Oral-lyn to Leosons, a company with extensive Middle Eastern product distribution experience, to advance the commercialization of Generex Oral-lyn in the region," said Anna Gluskin, the Generex President & Chief Executive Officer. "Diabetes represents a major unmet medical need in the region and by securing distribution through a major distributor we believe we will be able to capitalize on this significant opportunity."
About Leosons Leosons is a 25-year old private multinational operating company in the Middle East focusing on the pharmaceutical and healthcare industry. Leosons distributes 15 healthcare-related products which are considered category leaders.
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