Ann: Cynata Extends FUJIFILM Licence Option in GvHD, page-185

What i dont understand is what exactly the purpose of the extension is....

according to the initial annoucement:

“The purpose of this extension is to enablethe parties to seek to accommodate certain requests made by Fujifilm in relation to structural aspectsof the GvHD license agreement. We note that Fujifilm has not raised any material issues in respect ofthe financial, clinical or technical aspects of CYP-001 or Cynata’s core Cymerus™ technology generally.”

This suggests that Fuji has not made any requests or expressed concerns regarding the use of CYP-001. So no scientific problems but structural aspects of the deal.

Then they announced:

"In the event that the licence option is exercised by Fujifilm Corporation on or before the extendedexpiry date of 19 September 2019, the parties will execute the GvHD Licence Agreement, the materialterms of which were set out in Cynata’s ASX announcement of 19 January 2017. Cynata confirms thatit is not negotiating any changes to those material terms and no changes have been agreed."

So they also do not change the terms of the deal, so they are not negotiating $$ or worldwide licensing right or anything like this.

Whats left? What other structural aspects are there that go beyond the material terms of the agreement?

It must have something to do with these other option agreements.



So that would suggest that the GvHD itself is going to remain as is but they might have picked up the option to negotiate the manufacturing rights.

This would make absolute sense because Fuji is building all these new facilities to produce iPSCs. However i see how this could be difficult with for example the NHMRC study already agreed to. I can only assume that this project also has a certain manufacturing setup pre-approved and changing these could take time if its possible at all.

Of course, if its really about the additional things, why didnt they announce it like that?

Logic suggests the delay should be caused by the negotiation of additional things as stated in the initial agreement but the cryptic wording of the announcements somehow give this whole thing a bad look. Maybe Fuji threatened to walk away if they dont get xyz so MGM is careful with their wording? Its really confusing to me.