10:56 AM EDT, 04/26/2024 (MT Newswires) -- Biodexa Pharmaceuticals ( BDRX ) said Friday it has signed a deal with Emtora Biosciences for the exclusive, global rights for eRapa, a phase 3-ready drug to treat familial adenomatous polyposis, an inherited condition that affects the gastrointestinal tract.

Shares of the company rose more than 81% in recent Friday trading.

The license deal terms include the issuance to Emtora of 378,163 of Biodexa's American depositary shares, representing 5% of Biodexa's outstanding shares on a fully-diluted basis at close.

Biodexa may also pay up to $41.5 million in sales milestones in the first six months of a first commercial sale of a first-approved indication of eRapa.

Emtora is finalizing a phase 2 trial in 30 people with familial adenomatous polyposis and the results of the trial will be presented at two scientific conferences in Q2 2024, Biodexa said.

Emtora plans to start a phase 3 trial that will recruit about 140 people, Biodexa said, adding the phase 3 trial is expected to be backed by a $17 million grant from the Cancer Prevention and Research Institute of Texas.

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