NetworkNewsBreaks – Lexaria Bioscience Corp. (CS
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Posted On: 01/15/2019 3:30:40 PM
NetworkNewsBreaks – Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP) Subsidiary Enters Definitive Investment Agreement with Altria Ventures Inc.
Drug delivery platform innovator Lexaria Bioscience (CSE: LXX) (OTCQX: LXRP) today announced that its wholly-owned subsidiary Lexaria Nicotine LLC has executed a definitive agreement with Altria Ventures Inc., an indirect wholly owned subsidiary of Altria Group, Inc. (NYSE: MO), to pursue innovation in oral, reduced risk nicotine consumer products using Lexaria’s patented DehydraTECH™ technology. In exchange for a minority equity interest in Lexaria Nicotine and DehydraTECH™ license rights for oral nicotine delivery forms on an exclusive basis in the US and a non-exclusive basis elsewhere globally, Altria will fund a milestone-based research & development (“R&D”) program to be executed by Lexaria Nicotine. The company will conduct a series of clinical investigations of oral forms of nicotine delivery, utilizing DehydraTECH™ technology. The funding from Altria will consist of an initial $1 million with the option for additional funding of up to $12 million through multiple phased private financings. Altria will pay Lexaria Nicotine a royalty on revenue generated from the sale of nicotine products containing DehydraTECH™ and holds the option to acquire 100% ownership in Lexaria Nicotine, at which time royalty payments would stop. Additionally, Altria has the right to initially appoint one of the seven directors on Lexaria Nicotine’s board of directors and, through further phased investments, may have the right to appoint up to three of the seven directors.
“Lexaria Bioscience is proud that, after careful selection, Altria has chosen to fund research into DehydraTECH™ technology and potentially commercialize this technology for oral nicotine,” Lexaria Bioscience CEO Chris Bunka stated in the news release. “This partnership will provide significant benefits to Lexaria Bioscience and its shareholders with a world-class R&D Program and regulatory compliance process. We believe Altria is the best corporate partner we could work with to truly make a difference in the lives of millions of consumers.”
Please see full disclaimers on the NetworkNewsWire website applicable to all content provided by NNW, wherever published or re-published: http://NNW.fm/Disclaimer
Drug delivery platform innovator Lexaria Bioscience (CSE: LXX) (OTCQX: LXRP) today announced that its wholly-owned subsidiary Lexaria Nicotine LLC has executed a definitive agreement with Altria Ventures Inc., an indirect wholly owned subsidiary of Altria Group, Inc. (NYSE: MO), to pursue innovation in oral, reduced risk nicotine consumer products using Lexaria’s patented DehydraTECH™ technology. In exchange for a minority equity interest in Lexaria Nicotine and DehydraTECH™ license rights for oral nicotine delivery forms on an exclusive basis in the US and a non-exclusive basis elsewhere globally, Altria will fund a milestone-based research & development (“R&D”) program to be executed by Lexaria Nicotine. The company will conduct a series of clinical investigations of oral forms of nicotine delivery, utilizing DehydraTECH™ technology. The funding from Altria will consist of an initial $1 million with the option for additional funding of up to $12 million through multiple phased private financings. Altria will pay Lexaria Nicotine a royalty on revenue generated from the sale of nicotine products containing DehydraTECH™ and holds the option to acquire 100% ownership in Lexaria Nicotine, at which time royalty payments would stop. Additionally, Altria has the right to initially appoint one of the seven directors on Lexaria Nicotine’s board of directors and, through further phased investments, may have the right to appoint up to three of the seven directors.
“Lexaria Bioscience is proud that, after careful selection, Altria has chosen to fund research into DehydraTECH™ technology and potentially commercialize this technology for oral nicotine,” Lexaria Bioscience CEO Chris Bunka stated in the news release. “This partnership will provide significant benefits to Lexaria Bioscience and its shareholders with a world-class R&D Program and regulatory compliance process. We believe Altria is the best corporate partner we could work with to truly make a difference in the lives of millions of consumers.”
Please see full disclaimers on the NetworkNewsWire website applicable to all content provided by NNW, wherever published or re-published: http://NNW.fm/Disclaimer
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