UPDATE 1-Bioniche gets $6 mln milestone payment from Endo Pharma

Fri Nov 6, 2009 11:25am EST

* Says has potential to receive further $110 mln

* Posts Q1 loss of C$0.09

* Shares up as much as 9 pct

Nov 6 (Reuters) - Canadian biopharmaceutical company Bioniche Life Sciences Inc (BNC.TO) said it received the first milestone payment of $6 million under a licensing deal with Endo Pharmaceuticals (ENDP.O) for its experimental bladder cancer drug.

Bioniche, which received an upfront payment of $20 million from Endo in July, said it had the potential to receive a further $110 million in payments associated with the achievement of certain clinical, regulatory and commercial milestones.

In July, Bioniche said Endo Pharma had licensed from Bioniche exclusive rights to develop and market its Urocidin treatment in the United States, with an option for global rights. [ID:nN10509607].

Urocidin, a bladder cancer treatment, is currently undergoing phase III clinical testing.

Bioniche also reported a wider first-quarter loss of C$6.8 million ($6.39 million), or 9 Canadian cents a share, as recessionary conditions in all markets pushed its sales down 12 percent.

Shares of Ontario-based Bioniche were up 6 percent at 45 Canadian cents Friday on the Toronto Stock Exchange. They touched a high of 47 Canadian cents earlier in the session. ($1=1.064 Canadian dollar) (Reporting by R. Manikandan in Bangalorev; Editing by Unnikrishnan Nair)

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