Vericel Receives First Payment from Innovative Cellular Collaboration

Vericel initiated its collaboration with Innovative Cellular Therapeutics (ICT) following a US $5.1MM upfront payment. In 2Q17, the companies entered a license agreement whereby ICT will exclusively develop and distribute Carticel® and MACI® in Greater China, Singapore, South Korea and other countries in the region.

Terms of the agreement also include ~$8.0MM in development and sales milestones and royalties. ICT will fund development and manufacturing of the products in China and pertinent territories. The company’s own product portfolio includes cell therapies outside of orthopaedic applications.

Carticel is an autologous chondrocyte implant designed for the treatment of knee cartilage defects, while MACI autologous cultured chondrocytes are indicated for the repair of adult symptomatic single or multiple full-thickness cartilage defects. Carticel is no longer marketed in the U.S.

Sources: Vericel Corporation; ORTHOWORLD Inc.