Advanced Orthomolecular Research acquires Bellus Health's Canadian subsidiary OVOS Natural Health
BELLUS Health Inc. and Advanced Orthomolecular Research Inc. announced that they have entered into a share purchase agreement with respect to BELLUS Health's wholly-owned Canadian subsidiary OVOS Natural Health Inc., and into a Canadian license and supply agreement relating to BELLUS Health's VIVIMIND™, a patented natural health product that has been shown to support the specific area of the brain known as the hippocampus, a region responsible for memory and learning.
Pursuant to the Share Purchase Agreement, AOR is acquiring all issued and outstanding shares of BELLUS Health's wholly-owned Canadian subsidiary OVOS Natural Health Inc. for a total consideration of $1 million, consisting of an upfront payment of $350 000 and of a payment of $650 000 contingent upon the successful completion of a pre-established milestone event expected to occur within 18 months of the closing of the transaction. Pursuant to the License and Supply Agreement, BELLUS Health is granting AOR exclusive distribution rights for VIVIMIND™ in Canada and will be supplying AOR with the product at a pre-agreed transfer price. AOR will be responsible for all marketing, distribution and sales activities of VIVIMIND™ in Canada. BELLUS Health retains all rights to VIVIMIND™ in other jurisdictions worldwide. The License and Supply Agreement also provides for up to $3 million in commercial milestone payments to BELLUS Health should certain mutually agreed upon sales targets be achieved.
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