CSPC Pharmaceutical Group (HKG:1093) subsidiary, CSPC Megalith Biopharmaceutical, signed an exclusive licensing agreement with Radiance Biopharma for the development and commercialization of the Group's SYS6005 in the US, UK, and several other parts of the world, according to a Wednesday filing with the Hong Kong bourse.

CSPC Megalith will get an initial payment of US$15 million. The pharmaceutical may also receive potential development and regulatory milestone payments of up to US$150 million and potential sales milestone payments of up to US$1.08 billion, with a possibility of tiered royalties based on annual net sales of the Product in the Territory.

This drug uses a special enzyme-based technology to attach a powerful cancer-killing agent (MMAE) to an antibody, targeting cancer cells that have a protein called ROR1.

Other areas in the contract include Switzerland, Norway, Iceland, Liechtenstein, Albania, Montenegro, North Macedonia, Serbia, Australia, and Canada.