Neoprobe, U.S. Surgical Corp. deal

U.S. Surgical received exclusive worldwide rights to sell NEOP's RIGS products for surgical cancer detection, excluding Korea, Thailand, Taiwan and Singapore. NEOP will receive $5.5 million, the majority of which U.S. Surgical will pay upon U.S. and European marketing approval of RIGScan CR49. NEOP has filed for European approval of the test and expects to file a Biologic License Application (BLA) with the FDA in the fourth quarter.

Instead of receiving royalties, NEOP will book the sale on its profit and loss statement and pay U.S. Surgical a commission on sales. David Bupp, NEOP president, said he is comfortable with analyst projections of a 70 percent margin on the product, which will sell for about $1,500 per dose. ...