Skincare specialist Sinclair Pharma Plc said on Friday it signed two separate product-development and commercialisation deals with BMG Pharma, a privately-owned U.S.-based company, sending its shares up 11.3 percent.
Sinclair said it out-licensed several early-stage gynaecology technologies to BMG Pharma in a deal valued at 3.5 million euros ($4.4 million), recognised as revenue for Sinclair.
The company said BMG would fund the development and registration of the products and retain the right to distribute them in north and South America, paying a royalty to Sinclair.
In return, Sinclair would own distribution rights for the rest of the world with a reciprocal royalty arrangement.
The UK-based company also said it signed a 4.1-million-euro deal with BMG Pharma to in-license skin products.
BMG would license to Sinclair anti-infective skin-care products including creams, lotions, foams and cleansers.
The balance of 0.6 million euros between the two agreements would be payable by Sinclair to BMG in installments.
Sinclair Pharma shares were up 3 pence at 29.5 pence at 0840 GMT on the London Stock Exchange. ($1=.7888 Euro)