UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): July 24, 2017
American BriVision (Holding) Corporation |
(Exact name of registrant as specified in its charter) |
Nevada | 333-91436 | 26-0014658 | ||
(State or other jurisdiction
of incorporation) |
(Commission File Number) |
(IRS Employer Identification No.) |
11 Sawyers Peak Drive, Goshen, NY, 10924
(Address of principal executive offices) (Zip Code)
Registrant’s telephone number, including area code: (845) 291-1291
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions ( see General Instruction A.2. below):
¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ¨
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨
Item 1.01. Entry into a Material Definitive Agreement
On July 24, 2017, American BriVision Corporation (the “Company”, “we” or “us”) entered into a collaborative agreement (the “Collaborative Agreement”) with BioFirst Corporation (“BioFirst”), a corporation incorporated under the laws of Taiwan, pursuant to which BioFirst granted us the global license for medical use of the product (the “Product”): BFC-1401 Vitreous Substitute for Vitrectomy.
According to the Collaborative Agreement, we will co-develop and commercialize the Product with BioFirst and pay BioFirst $3,000,000 (the “Total Payment”) in cash or stock by September 30, 2018 in two installments. An upfront payment of $300,000, representing 10% of the Total Payment due under the Collaborative Agreement, was paid by us upon signing of the Collaborative Agreement.
The Company is entitled to receive 50% of the future net licensing income or net sales profit, if any, and any development cost shall be equally shared by both parties.
As disclosed in our filing, Eugene Jiang is the Chief Executive Officer of the Company, and one of the directors and common stock shareholders of BioFirst.
The foregoing descriptions of the Collaborative Agreement are summaries and are qualified in their entirety by reference to such document, which is filed herewith as Exhibits 10.1 and is incorporated herein by reference.
Forward Looking Statements
This Form 8-K contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are generally identified by the words “will,” “expects,” “anticipates,” “believes,” “estimates” or similar expressions. These forward-looking statements reflect management’s view of future events and are subject to risks, uncertainties, assumptions and other important factors, many of which may be beyond our control, and could cause actual results to differ materially from those expressed or implied in these forward-looking statements. Factors that could cause actual results to differ from such statements include, but are not limited to: an adverse decision or decisions following a review of additional safety information, or findings regarding a clinical benefit that are inconsistent with those of recent publications. The forward- looking statements contained herein represent management’s judgment of the Company as of the date hereof. We disclaim any intent or obligation to update any forward-looking statement except to the extent required by law.
Item 9.01. Exhibits
Exhibit 10.1 |
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
American BriVision (Holding) Corporation | ||
Date: July 24, 2017 | By: | /s/ Eugene Jiang |
Eugene Jiang | ||
Chief Executive Officer and Chairman |
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Exhibit 10.1
COLLABORATIVE AGREEMENT
Made and entered into as of this 24th day of July, 2017 (“the Effective Date”)
BY AND BETWEEN
BioFirst Corpation, a company incorporated under the laws of Taiwan and having its principal place of business at 3rd Floor, 248, Nei-Hu Road, Sec. 1, Taipei, 11493 Taiwan (“BioFirst”)
AND
American BriVision Corporation, a company incorporated under the laws of USA and having it principle place of business at 11, Sawyers Peak Drive, Goshen, NY 10924 USA (“ABVC”)
WITNESSETH:
WHEREAS, BioFirst has been granted global licensing rights and/or established its own technology to develop and use proprietary technology and confidential information for the following products (“Product”):
BFC-1401 Vitreous Substitute for Vitrectomy
(A). And clinical trial data and Intellectual Property conduct and generate in the territory, and has developed them for medical use.
(B). ABVC has the right to sublicense all products in the territory.
WHEREAS, ABVC is a biotech company, and is in the business of research, development and marketing of, among others, new drugs and innovative medical devices;
WHEREAS, BioFirst and ABVC are thereafter referred to as the “Parties”. BioFirst and ABVC each is thereafter referred to as “Party”
WHEREAS, ABVC is willing to collaboratively develop and commercialize Product in certain Territory (as defined hereafter);
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WHEREAS, the Parties agree to jointly co-develop and commercialize Product in such Territory and enter into the Collaborative Agreement. Herein, it is agreed as follows:
1. Definitions and Interpretation
1.1 “Confidential Information” shall mean all confidential, proprietary, trade secret, or non-public information, data and experience, whether of scientific, technical, engineering, operational or economic nature, disclosed by one of the Parties (the “Disclosing Party”) to the other Party (the “Recipient”) for this Collaborative Agreement.
1.2 “Confidential Materials” shall mean any document, diskette, tape, writing or other tangible item to the extent that such item contains or embodies any Confidential Information, whether in printed, handwritten, electronic, coded, magnetic or other form and whether delivered by a Disclosing Party or made by a Recipient.
1.3 “Data” shall mean all research data, technical data, test and development data, CMC (chemistry, manufacturing and control), pre-clinical and clinical data, formulations, processes, ideas, protocols, regulatory files and the like which are developed by either Party under the Development Program in connection with its performance of this Collaborative Agreement.
1.4 “Field” shall mean drug and therapeutic use of the Product based upon the Health Registration Approval and in no event include the use of the Product for functional food, health food nor health supplement.
1.5 “Intellectual Property” shall mean any patent, copyright, mask work, trade secret, trademark or other proprietary right; including, without limitation, all domestic and foreign applications and registrations therefore, and all renewals and extensions relating thereto; with respect to patent application and patents, all domestic and foreign divisional, continuations, continuations-in-part, substitutions, reissues, re-examinations, renewals and extensions relating thereto; all goodwill associated therewith, and all benefits, privileges, causes of action and remedies relating to any of the foregoing proprietary rights (including, without limitation, the right to use for all past, current or future infringements or violations of the foregoing proprietary rights, and the right to settle and retain proceeds from any such actions).
1.6 “Territory” shall mean global market.
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2. Agreement to ABVC.
2.1 BioFirst hereby grants ABVC right to co-develop Product, in the Field and in the Territory under the Intellectual Property, Confidential Information, Data and Trademark of Product.
2.2 Total reimbursement fee will be calculated based on Cost-plus Valuation Method.
3. Payment
3.1 Total payment is three (3) Million U.S. Dollars (non-refundable, before tax) in cash or stock of ABVC with equivalent value.
3.2 This payment is for the compensation of BioFirst past research efforts and contributions made by BioFirst before the Agreement is signed by the Parties and it does not relate to any future commitments made by the Parties in the Agreement.
3.3 Per the good relationship in between both Parties, the payment shall be in installments as follow:
3.3.1 | First payment 10% of total contract amount shall be paid upon the signing of this Co-Development Agreement by both Parties. |
3.3.1.1 | after receiving first payment, BioFirst will deliver all Data to ABVC in one week. |
3.3.2 | The rest 90% of total amount, ABVC should pay in one time or divide different installment before September 30, 2018 |
4. Future income and development cost
4.1 ABVC is entitled to receive 50% of the future net licensing income or net sales profit.
4.2 Development cost shall be shared by both parties, 50% each.
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5. Confidentiality
The Parties agree that during the term of this Collaborative Agreement and thereafter ten (10) years Confidential Information exchanged during this Collaborative Agreement and will be accorded confidential treatment and shall not be used for any other purpose than the performance of this Collaborative Agreement and the exercise of the rights herein provided.
The Recipient’s obligation hereunder shall not apply to:
(a) Information which is now or hereafter becomes part of the public domain in other ways than by faults, acts or omissions of the Recipient;
(b) Information which the Recipient can show by sufficient evidence was in its own possession prior to the time of receipt from the Disclosing Party or is independently developed by or for the Recipient without reliance upon or use of any of the Disclosing Party’s Confidential Information or Confidential Materials;
(c) Information which is required to be disclosed by statute or governmental rule or regulation or by a court or administrative body.
Nothing herein shall prevent BioFirst or ABVC from disclosing any of such Confidential Information to the extent that (i) such Confidential Information is disclosed in connection with the securing of the IDE or PMA, (ii) such information is disclosed for the purpose of obtaining a governmental approval for the manufacture and/or sale of or effectuating the development, marketing and promotion of any Product and/or API or (iii) such information is disclosed to the Sub-licensee(s) of BioFirst or ABVC for the use thereof upon executing a separate confidentiality disclosure agreement.
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6. Duration and Termination
6.1 Duration
This Collaborative Agreement shall, once signed by both Parties, remain in effect until the expiration date of the last paten and automatically renew for 5 more years unless either Party gives the other Party six (6) months written notice of termination prior to the expiration date of the term.
6.2 Termination for Cause
This Collaborative Agreement can be terminated by either Party for any of the following causes by giving to the other Party (“Breaching Party”) thirty (30) days written notice of its intention to terminate for such causes as follows:
(a) | If Breaching Party materially breaches any provision of this Agreement and such breach is not cured within thirty (30) days following the written notice by Non-breaching Party; or |
(b) | If a Party is the subject of a voluntary petition in bankruptcy or any voluntary proceeding relating to insolvency, receivership, liquidation, or composition for the benefit of creditors, if such petition or proceeding is not dismissed within thirty (30) days of filing, or becomes the subject of any involuntary petition in bankruptcy or any involuntary proceeding relating to insolvency, receivership, liquidation, or composition for the benefit of creditors, if such petition or proceeding is not dismissed within thirty (30) days of filling. |
Termination is not the sole or exclusive remedy under this Agreement and, whether or not termination is effected, all other rights and remedies at law or equity will remain available.
7. Miscellaneous
7.1 Notice
All notices, requests, demands and other communications to be given in accordance with this Agreement shall be given in writing and/or by prepaid registered mail or receipt return requested to the other Party at the following addresses:
If to BioFirst:
BioFirst. Corporation
3rd Floor, 248, Nei-Hu Road, Sec. 1, Taipei, 11493 Taiwan
Attention: David Lin
Title: General Manager
If to ABVC:
American BriVision Corporation
11, Sawyers Peak Drive, Goshen, NY 10924 USA
Attention: Eugene Jiang
Title: CEO
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7.2 Applicable Law
This Agreement and any disputes arising out of or relating thereto, including, without limitation, its interpretation, construction, performance, and enforcement shall be governed by and construed in accordance with the laws of Taiwan.
7.3 Dispute Dissolution
Both Parties shall endeavor to settle amicably and promptly any disputes, controversies and differences which may arise between the Parties out of or in relation to this Agreement or any breach thereof. In case such an amicable settlement is not attained, the matter shall be finally settled by arbitration according to the Rules of Conciliation and Arbitration of the International Chamber of Commerce, which rules shall be deemed incorporated into this paragraph. The place of arbitration will be Taipei (Taiwan).
7.4 Addendum or amendment may be added upon mutual agreement of the parties.
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IN WITNESS WHEREOF the Parties hereto have caused this Collaborative Agreement to be executed, in duplicate, each Party taking a copy, as of the Effective Date.
BIOFIRST CORPORATION | AMERICAN BRIVISION CORPORATION | |||
By: | /s/ Hsin-Yuan Miao | By: | /s/ Eugene Jiang | |
Hsin-Yuan Miao | Eugene Jiang | |||
Supervisor | CEO |
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