Stellar gets South Korea distributor for Uracyst

Stellar Pharmaceuticals (OTCBB:SLXCF) has signed a licensing agreement for the distribution and sale of one of its lead products, Uracyst, to treat interstitial cystitis/painful bladder syndrome in South Korea with Jeilmedix Pharmaceutical.

Peter Riehl, Stellar’s CEO, said in a statement that the accord is in line with the company’s strategy of selling direct in Canada and out-licensing proprietary products into the global marketplace.  ”We are very pleased to be working with Jeilmedix, a company that enjoys a strong presence in this significant territory with a population of over 46 million.”

Jeilmedix is expected to launch Uracyst in the third quarter of 2010 after obtaining regulatory approval to import and sell the drug.  Under the initial five-year agreement, it will pay Stellar an upfront licensee fee and a specified transfer price for the distribution rights.

Uracyst is currently being distributed in Italy, Belgium, Luxemburg, the Netherlands, Denmark, Sweden, Norway, Finland, Iceland, Turkey, the U.K. and Ireland through out-license agreements.  Distributors are in place in Israel, the U.S., China and now South Korea, where regulatory approvals are pending.