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TALi Digital (ASX:TD1) signs licensing deal with Akili Interactive Labs

Technology
ASX:TD1      MCAP $6.59M
18 August 2021 11:50 (AEST)
TALi Digital (ASX:TD1) - Managing Director, Glenn Smith

Sourced: TALi Digital

TALi Digital (TD1) has entered a strategic licensing agreement with digital therapeutics company, Akili Interactive Labs.

Under the deal, Akili will license TALi’s ‘market-leading’ technology to become its exclusive commercialisation partner for all pediatric cognition products in the US.

Regarded as a global pioneer and digital therapeutics leader, Akili commercialised the first FDA-cleared and CE-marked video game treatment as a prescription digital therapeutic (PDT) to improve attention function in children aged 8-12 with ADHD.

In the US, the ADHD therapeutics market is estimated at US$10 billion (A$13.7 billion) per annum with more than six million children aged eight to 18 in the US diagnosed with ADHD.

Akili Co-Founder and CEO Eddie Martucci commented on the partnership.

“We are committed to changing the way people think about medicine, and strategic agreements like this will allow us to expand our vision to treat cognitive impairments in entirely new ways and usher in the next generation of digital therapeutics,” he said.

Drawing on Akili’s experience with commercialising its PDT product, TALi will bring its own TALi TRAIN and TALi DETECT products through additional clinical and regulatory clearance.

TALi has an existing collaboration with the Duke Clinical Research Institute which is facilitating clinical development and trials to collect pediatric data on TALi’s products. These are expected to begin this year.

After these trials, Akili will commercialise the products in the US and pay TALi royalties on future sales.

All up, TALi will receive an estimated $51 million in total milestone payments. The initial milestone payment of US$2 million (A$2.75 million) will be paid once it receives FDA clearance, which is expected in FY23.

TALi Managing Director Glenn Smith considers this deal to be transformational as it opens up the potential for long term and sustainable revenues from the US as well as other key markets where discussions are ongoing.

“Akili is leading the digital therapeutics industry with its ability to dramatically scale into mainstream medicine, while maximising value to patients and to the business, making it an ideal partner for expanding the reach and impact of our technology,” he said.

Company shares were up 2.17 per cent to trade at 4.7 cents at 1:35 pm AEST.

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