SPARC Ends Licensing Deal with CMS Bridging Covering Five Drug Candidates
New Delhi: Sun Pharma Advanced Research Company Ltd. (SPARC) has announced the mutual termination of its License Agreement with CMS Bridging DMCC (CMS), originally executed on November 5, 2019, with the termination taking effect on June 25, 2026.
SPARC stated that the termination will have no material impact on the company's financial position, operations or other business activities.
According to the filing, the purpose of the original License Agreement was to develop and commercialize five pharmaceutical products—XelprosTM, ElepsiaTM, TaclantisTM, PDP-716 and SDN-037—in Mainland China, Hong Kong, Macao and Taiwan.
The company clarified that the size of the agreement was not applicable for disclosure purposes. It further stated that SPARC did not hold any shareholding in CMS Bridging DMCC. The filing also specifies that the agreement did not contain any special rights, including the right to appoint directors, first right to subscribe to shares in the event of a future share issuance, or the right to restrict changes in the capital structure of either party. SPARC further informed that none of the parties to the agreement are related to the company's promoter, promoter group or group companies, and the transaction does not qualify as a related-party transaction.
The disclosure states that details relating to issuance of shares, including the issue price and class of shares, are not applicable as no shares were issued under the agreement.
Similarly, disclosures relating to loan agreements, including details of lender or borrower, nature of the loan, total amount granted or borrowed, outstanding loan amount, date of execution of any loan agreement or sanction letter, security provided by either party, or any material outstanding loans on a cumulative basis, were stated to be not applicable.
The company also clarified that disclosures relating to nominee directors on the board, potential conflicts of interest arising out of the agreement, and other similar matters are not applicable.With respect to the termination, the filing identifies CMS Bridging DMCC as the counterparty, describes the transaction as the termination of the License Agreement, and states that the termination agreement was executed on June 25, 2026.
According to the SPARC regulatory filing, the License Agreement with CMS Bridging DMCC has been mutually terminated, and the company has reiterated that the termination will not have any material impact on its financial position, operations or other activities. The filing also confirms that the agreement had covered the development and commercialization of XelprosTM, ElepsiaTM, TaclantisTM, PDP-716 and SDN-037 across Mainland China, Hong Kong, Macao and Taiwan, while confirming that the transaction was not a related-party transaction and involved no shareholding, special rights, share issuance, loan arrangements or conflicts of interest.
