CO.DON AG: Negotiations with Xintela on creation of joint venture to be discontinued
DGAP-News: CO.DON AG / Key word(s): Strategic Company Decision
CO.DON: Negotiations with Xintela on creation of joint venture to be discontinued
Berlin / Teltow, 17 July 2019 - As announced today in an ad hoc announcement, the negotiations announced on 9 July 2018 with the Swedish company Xintela A.B., Lund, regarding the establishment of a joint venture with the aim of developing a stem cell product for the treatment of osteoarthritis will not be continued.
After a thorough examination, the CO.DON AG Management Board today concluded that there is no longer any potential for an agreement to found a joint venture with Xintela A.B.. As a result of the open and constructive discussions, it now became clear that the assessment of the contribution to be made by the respective parties to the joint venture is too different.
Ralf M. Jakobs, CEO of CO.DON AG: "Despite the exciting business case, we decided not to continue negotiations with Xintela for economic reasons. The thorough evaluation of the underlying data and work status showed that the investment volume required by CO.DON would be many times higher than the amount originally assumed. The period until a possible market entry has also prolonged considerably in the course of the evaluation. However, we will remain in further constructive exchange with Xintela. For us, the end of the negotiations does not mean a delay in the targeted expansion of our product portfolio in the field of stem cell technology, as extremely interesting alternatives are identified which we are currently investigating. This approach and the associated product options are also reflected in the strengthening of our research and development department. Our goal is to establish a marketable product in the field of stem cell technology for a meaningful and marketable orthopedic application. To this end, we have initiated further steps with international partners for the development of a product for the treatment of knee arthrosis based on stem cell technology and CO.DON know-how".
CO.DON AG develops, produces and distributes autologous cell therapies for the minimally invasive repair of cartilage defects. The product being marketed is a cell therapy product for the minimally invasive treatment of cartilage damage in the knee joint that uses only the patient's own cartilage cells ("autologous chondrocytes"). CO.DON's method is currently used in over 200 clinics in Germany and more than 14,000 patients have already been treated. In July 2017 CO.DON AG received central EU marketing authorisation for this product from the European Medicines Agency (EMA). The shares in CO.DON AG are listed on the Frankfurt Stock Exchange (ISIN: DE000A1K0227). Executive Board: Ralf M. Jakobs (Spokesman), Tilmann Bur (COO).
Further information is available from www.codon.de
Investor Relations and Press Contact:
Matthias Meißner, M.A.
17.07.2019 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.
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