WEST CALDWELL, NJ and TORONTO, ON, Oct. 09, 2019 (GLOBE NEWSWIRE) — via NEWMEDIAWIRE — EastGate Biotech Corp. (OTC: PINK: ETBI), a pharmaceutical company that focuses on innovative technological developments specifically in insulin drug delivery for the treatment of Type 2 diabetes, announced today that it has restructured its Joint Venture Agreement in Pakistan. The rationale behind the restructuring was to initiate a branding campaign that expanded the purpose of the Joint Venture beyond Insugin. An independent company called EastGate Biotech Pakistan was established by the local partner with the same ownership structure of 51% held by EastGate Biotech and 49% held by EastGate Biotech Pakistan.
The objectives and activities of the Joint Venture Agreement include:
- Register alternative insulin platform products in Pakistan, with the main focus on Insugin, liquid insulin mouth rinse solution.
- Conduct clinical trials for registration purposes for Insugin
- Market and distribute approved Insugin product in Pakistan
- Conduct clinical trials for alternative insulin product for the Alzheimer’s indication
- Register alternative insulin product for the Alzheimer’s indication
- Market and distribute approved alternative insulin product for the Alzheimer’s indication in Pakistan
- Assist in the registration of plasma-derived medicines, Human Serum Albumin 20%, 50 ml, 100 ml for which a license is held by the local partner in order to exclusively introduce to the Canadian market.
Human Serum Albumin (HSA) is made of plasma proteins from human blood. It is one of the primary components of blood and typically extracted from expired blood. This medicine works by increasing plasma volume or levels of albumin in the blood. HSA is used to replace blood volume loss resulting from trauma or an injury that causes blood loss.
The global plasma fractionation market is projected to reach $29.5 Billion by 2023 from $21.23 billion in 2018. Blood Fractionation is a critical, essential, and even a matter of national security to every country that wants to be independent of import and reliance on a single local producer.
“We are pleased to solidify our relationship with our local JV partner,” said Anna Gluskin, CEO of EastGate Biotech. “Our local partner initially approached us with the idea of branding the EastGate’s name for our innovative delivery of Insugin for diabetes treatment, but then wanted to expand it to include the Alzheimer’s indication. Both parties realized there is greater value in developing a brand versus just one product. So the inclusion of the opportunity to register blood plasma derived products to the Joint Venture pipeline fits our strategy of creating greater shareholder value. This restructuring has increased the revenue potential for EastGate and long term profitability for all of our stakeholders.”
“EastGate has an incredible delivery platform,” said COO, Bill Abajian. “Once this proprietary technology is demonstrated on a commercial scale there is little doubt that many large and territorial pharmaceutical companies will want to possess it. Licensing has always been a key part of our strategy and formulating new methods of delivery is a key maneuver in big pharma’s playbook for their own product pipeline. The Pakistani JV Agreement has clear objectives which focus on products with massive potential, but only require a small market penetration rate in order for EastGate to recognize substantial revenues which lead to greater valuations. We ultimately look to strengthen our pathways for both a robust financial scenario for EastGate or for strategic M&A partnerships.”
“We look forward to boosting the awareness of EastGate Biotech as an innovative company,” said CEO of EastGate Biotech Pakistan, Nasir Irfat. “Our overall plan is to start with our own alternative insulin products and build a solid foundation and brand name. We believe the oral insulin mouth rinse could reach blockbuster status at which point we would hope to attract other innovative products that are in high demand. It gives me great pleasure to introduce EastGate Biotech to the Blood Plasma-derived product space through my own license with JV Pharmaland of Belarus, which is one example of a product with critical use.”
About EastGate Biotech
EastGate Biotech focuses on innovative technological developments and produces and distributes innovative drug compounds and healthy nutraceuticals that are based on natural therapies absorbed by the body. We utilize advanced nanotechnologies and alternative delivery systems that take difficult to deliver compounds and deliver them using our nanotechnology platform which ultimately increase the bioavailability to the body. Using our methods of delivery provides healthy alternatives to conventional pharmaceuticals that all-too-often create dangerous side-effects and unexpected consequences for those trying to attain and maintain a healthy lifestyle. EastGate’s wholly owned subsidiary Omni Surgery and Anti-Aging Centre is the first of many surgery centers to come under the Omni umbrella as we plan to roll up existing business under the Omni brand and expand our footprint globally.