TMS Co. has entered into an exclusive worldwide license agreement with Hokkaido University concerning a therapeutic candidate for the treatment of spinal cord injury.

As part of its efforts to expand the pipeline, the company has been searching for external innovations mainly from academia. In July 2022, the company entered into an option agreement with Hokkaido University with regard to the dubstance, which was identified in the course of such search, and has been evaluating the substance on various aspects such as efficacy, safety, and marketability.

As a result, the company exercised the option and decided to develop the substance, now named TMS-010, as a candidate for spinal cord injury therapeutics.

Under the terms of the agreement, the company will acquire exclusive rights to develop, manufacture, use, and sell the substance worldwide, including in Japan. The company will pay an upfront payment and annual minimum fees, as well as milestone payments depending on development and regulatory status, to Hokkaido University.

The total amount of such payment can be, at maximum, approximately 30% of the company’s expected annual R&D budget for the fiscal year ending Feb 2025. In addition, the company may pay royalties to Hokkaido University depending on future sales of the Substance.

TMS-010 is a candidate compound for the treatment of spinal cord injury, identified at Hokkaido University. By preventing the disruption of the blood-brain spinal cord barrier (BBSCB), TMS-010 is expected to have a neuroprotective effect, ameliorating secondary damage to the spinal cord. The efficacy of the substance in animal experiments has been confirmed in various experiments, both by Hokkaido University and TMS.