SUDA Pharmaceuticals Ltd. announces that it has entered into an exclusive license agreement with Mitsubishi Tanabe Pharma Singapore Pte Ltd. SUDA continues to expand its coverage of ZolpiMistTM, an oral spray treatment for insomnia, as outlined in the announcement of 13 November 2018, and meets its anticipated milestone as outlined in the investor presentation of 28 August 2018. The Agreement is for an exclusive licence for, and supply of, ZolpiMist for the Philippines, Malaysia and Singapore and options for Thailand, Indonesia, Vietnam, Myanmar, Cambodia, Laos and Brunei. The option period is for 12 months. SUDA will receive an upfront fee of USD 100,000 and milestone payments based on MTPS obtaining regulatory approval of USD 40,000 per country as well as commercial milestone payments based on MTPS achieving sales targets of the product with a maximum milestone payment of USD 650,000. On exercising the option, MTPS will pay SUDA USD 35,000 followed by milestone payments of USD 25,000 per country based on MTPS obtaining regulatory approvals. SUDA will also receive a low double-digit royalty based on net sales of the product in the territory. SUDA's obligations include the supply of ZolpiMist, for which SUDA will receive a handling fee, and the registration of ZolpiMist with the Australian TGA. SUDA and MTPS will work together under a Joint Development Committee and a Joint Management Committee to coordinate and oversee activities to ensure the success of the product within the territory. The agreement is subject to standard termination clauses.