Licensing-first Strategy Continues to Deliver Non-dilutive Revenue; ABVC Positions Itself as a Leader in CNS-focused Botanical Therapeutics
SILICON VALLEY, CA - July 10, 2025 (NEWMEDIAWIRE) - ABVC BioPharma, Inc. (NASDAQ: ABVC) ("Company"), a clinical-stage biopharmaceutical company developing therapeutic solutions in ophthalmology, CNS (central nervous systems), and oncology/hematology, today announced that it has received a $150,000 cash licensing payment from AiBtl BioPharma Inc., one of its key strategic partners, as part of a broader licensing agreement signed earlier this year.
The payment marks a significant milestone in the continuing commercialization of ABVC’s late-stage drug candidates ABV-1504 and ABV-1505, which are being developed for Major Depressive Disorder (MDD) and Attention Deficit Hyperactivity Disorder (ADHD) respectively. Both candidates have completed Phase II and Phase IIB clinical trials and hold active INDs with the U.S. Food and Drug Administration.
“This milestone payment reflects the accelerating momentum behind our global licensing strategy and validates the value of our late-stage clinical assets,” said Dr. Uttam Patil, ABVC Chief Executive Officer. “Our partnership with AiBtl exemplifies how we are strategically collaborating with innovation-focused companies to bring our botanical therapies to market worldwide.”
Cumulative Licensing Milestone
To date, AiBtl BioPharma has paid a total of $350,000 in cash milestone licensing fees to ABVC. Including earlier payments from other strategic partners such as ForSeeCon and OncoX, ABVC has received a cumulative total of $846,000 in non-dilutive licensing income. These milestone payments reflect growing interest in ABVC’s late-stage botanical drug portfolio and reinforce the Company’s capital-efficient, partnership-driven business model.
Strengthening a Global Platform for Botanical Innovation
Over the past six months, ABVC has successfully executed licensing agreements with multiple partners across North America and Asia, including:
AiBtl BioPharma Inc. - Licensed ABV-1504 and ABV-1505 for global development and commercialization, for which ABVC will receive equity, cash milestone payments, and royalties. ABVC and its subsidiary BioLite Inc. received 46M AiBtl shares, and are eligible for potential $7M cash payment, and royalties up to $200M after the product launches.
ForSeeCon Eye Corporation - Secured a license for ophthalmic indications under ABVC’s botanical IP platform. ABVC and its subsidiaries BioFirst Corporation have received 10M ForSeeCon shares, and are eligible for potential $7M cash payment, and royalties up to $120M after the product launches.
OncoX BioPharma, Inc. - Entered into a deal to expand botanical innovation into the oncology space. ABVC and its subsidiaries BioLite Inc. and Rgene Corporation are received up to 10M OncoX shares, and are eligible for potential $5M cash payment, and royalties up to $50M after the product launches.
These deals are aligned with ABVC’s asset-light business model, focusing on developing innovative botanical drugs through Phase II/III, and licensing out clinical-stage products to commercial partners for global expansion.
Outlook and Commitment to Shareholder Value
This $150,000 payment is part of a larger milestone and royalty structure that is expected to contribute significantly to ABVC’s 2025 revenue stream. The company previously announced a 234% increase in annual revenue and a 77% year-over-year improvement in earnings per share, reflecting its capital-efficient approach and licensing-driven growth. These improvements reflect ABVC’s pivot toward a licensing-first strategy, which is designed to generate recurring milestone income and reduce the need for dilutive fundraising.
“Our licensing-first strategy is working, and today’s payment is one of several anticipated milestone payments as partners progress clinical development activities under our licensing agreements,” added Dr. Patil. “We remain committed to creating sustainable long-term value for our shareholders through focused innovation, smart partnerships, and disciplined execution.”
Addressing a Global Need for CNS Therapies
The growing demand for alternative and effective treatments for CNS disorders has become more urgent globally. According to The Daily Telegraph (July 7, 2025), Australia is currently facing a serious drug shortage, with nearly 300,000 patients expected to be affected, potentially driving some to seek medication through illegal channels. ABVC and AiBtl's progress in botanical drug development could offer a timely and legal therapeutic alternative to vulnerable patient populations in need.[1]
[1] https://ttmgoal.com/news/2549374126?edition=fundamental&utm_source=news&utm_campaign=2549374126&utm_medium=telegram&platform=iOS&shareID=fd3ffdab45abd814bfccde5ecba5541b&invite=P2VN3E&lang=en_US
About AiBtl BioPharma Inc.
AiBtl BioPharma Inc. is a Delaware-based biopharmaceutical company focused on the development of botanical-based therapeutic candidates for central nervous system (CNS) disorders, including major depressive disorder (MDD) and attention deficit hyperactivity disorder (ADHD). Leveraging a combination of traditional botanical knowledge and modern clinical research, AiBtl seeks to advance drug candidates derived from Polygala tenuifolia, a traditional medicinal herb. AiBtl operates with a strategic focus on Asia-Pacific markets and is exploring collaborative opportunities with global pharmaceutical partners to support late-stage development and commercialization. ABVC BioPharma currently holds a majority ownership stake in AiBtl.
About ABVC BioPharma & Its Industry
ABVC BioPharma is a clinical-stage biopharmaceutical company with an active pipeline of six drugs and one medical device (ABV-1701/Vitargus®) under development. For its drug products, the Company utilizes in-licensed technology from its network of world-renowned research institutions to conduct proof-of-concept trials through Phase II of clinical development. The Company's network of research institutions includes Stanford University, University of California at San Francisco, and Cedars-Sinai Medical Center. For Vitargus®, the Company intends to conduct pivotal clinical trials (Phase III) through global partnerships.
Forward-Looking Statements
This press release contains "forward-looking statements." Such statements may be preceded by the words "intends," "may," "will," "plans," "expects," "anticipates," "projects," "predicts," "estimates," "aims," "believes," "hopes," "potential," or similar words. Forward-looking statements are not guarantees of future performance, are based on certain assumptions, and are subject to various known and unknown risks and uncertainties, many of which are beyond the Company's control, and cannot be predicted or quantified, and, consequently, actual results may differ materially from those expressed or implied by such forward-looking statements. None of the outcomes expressed herein are guaranteed. Such risks and uncertainties include, without limitation, risks and uncertainties associated with (i) our inability to manufacture our product candidates on a commercial scale on our own, or in collaboration with third parties; (ii) difficulties in obtaining financing on commercially reasonable terms; (iii) changes in the size and nature of our competition; (iv) loss of one or more key executives or scientists; and (v) difficulties in securing regulatory approval to proceed to the next level of the clinical trials or to market our product candidates. More detailed information about the Company and the risk factors that may affect the realization of forward-looking statements is set forth in the Company's filings with the Securities and Exchange Commission (SEC), including the Company's Annual Report on Form 10-K and its Quarterly Reports on Form 10-Q. Investors are urged to read these documents free of charge on the SEC's website at http://www.sec.gov. The Company assumes no obligation to publicly update or revise its forward-looking statements as a result of new information, future events or otherwise.
This press release does not constitute an offer to sell, or the solicitation of an offer to buy any of the Company's securities, nor shall such securities be offered or sold in the United States absent registration or an applicable exemption from registration, nor shall there be any offer, solicitation or sale of any of the Company's securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such state or jurisdiction.
Contact:
Uttam Patil
Email: uttam@ambrivis.com
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