Argent BioPharma opens new antiviral lane with NLC portfolio licence

Argent BioPharma Ltd (ASX:RGT) is adding an antiviral portfolio to its commercial platform, signing an exclusive, royalty-bearing licence with NLC Ltd, NLC Viral Defense LLC and Dr Dorit Arad covering selected applications and products associated with Tollovir, Tollovid and NutraVir. The territory is worldwide excluding China, while existing TolloHealth rights relating to Tollovid in the United States remain in place.

Commercial Rights Arrive Before Any New Drug Development

The distinction matters: Argent has obtained rights to commercialise the licensed products, not an automatic mandate to develop them as pharmaceuticals. Any further therapeutic programme would require separate written rights from NLC, formulation-specific evidence and the necessary regulatory approvals. NutraVir is currently positioned as a dietary supplement, with its label stating that it is not intended to diagnose, treat, cure or prevent disease.

Licence Costs Combine Fees, Royalties and Milestones

Argent will pay US$15,000 a month for 20 months, with the fee subject to annual review and potential increases by mutual written agreement. It will also reimburse US$30,000 plus VAT in pre-approved legal expenses and has agreed to purchase substantially all existing NutraVir inventory for US$1.

The royalty structure rises with commercial traction. Argent will pay 12% on the first US$2.5 million of cumulative net sales for each of Tollovir, Tollovid and NutraVir, 9% on the next US$2.5 million and 6% thereafter. NLC is also entitled to US$100,000 when aggregate cumulative net sales reach US$2.5 million, followed by another US$125,000 at US$5 million.

Performance Rights Require Shareholder Approval

The agreement also contemplates 2 million performance rights for NLC, split between the two sales milestones and converting into ordinary shares on a one-for-one basis if issued and vested. The proposed issue requires shareholder approval and compliance with ASX Listing Rules. Argent will seek approval within 120 days of execution; if it is not obtained, the parties will negotiate alternative consideration of substantially equivalent value.

Portfolio Broadens Argent’s Immune-Modulation Strategy

Argent said it will commercialise the products alongside CimetrA®, sharing associated commercialisation costs across the programmes. The move follows the company’s transition of CannEpil® to a partnered licensing model and gives its stated immune-modulation and anti-inflammatory focus an additional antiviral component. Executive Chairman Roby Zomer described the transaction as part of Argent’s “next chapter”, while the company’s medical development team linked viral infection with the host inflammatory response.

Evidence and Territory Limits Remain Material

The licensed scope excludes NLCV-001, the Tollovir clinical-trial formulation containing a different concentration of Shikonin 95%, as well as other NLC products and development programmes unless expressly included. The agreement references a granted US patent and related Israeli and European applications, alongside a published PCT application and relevant trademarks, but Argent retains only the rights expressly granted under the contract.

NLC’s research materials provide a rationale for further evaluation, not proof that the licensed formulations are clinically effective or safe for treating viral infection or autoimmune disease. The agreement runs to August 2030 unless terminated earlier, and Argent can terminate in specified circumstances if a product is judged commercially unviable or future development costs do not support a reasonable positive financial return. The next test is therefore not the signing itself, but whether Argent can turn a defined licence into sales without first taking on the burden of a pharmaceutical development programme.