Vectura announces a new US collaboration agreement with a leading international pharmaceutical company for the VR315 therapy

Vectura announces a new US collaboration agreement with a leading international pharmaceutical company for the VR315 combination asthma/COPD therapy

Chippenham, UK - 3 August 2011: Vectura Group plc ("Vectura"; LSE: VEC) today announces that it has signed a US collaboration, development and license agreement with a US division of an undisclosed leading international pharmaceutical company for Vectura's VR315 product. VR315 is a combination therapy for asthma/COPD delivered using Vectura's proprietary technology.

Under the terms of this agreement, Vectura's partner will be responsible for the commercialisation and manufacture of the product together with clinical development. Vectura will provide support for the US development of VR315, for which it will receive an initial payment of $10 million and up to $35 million upon achievement of pre-determined development milestones. In addition, Vectura will receive a royalty from all VR315 US sales.

Dr Chris Blackwell, Chief Executive of Vectura, commented:

"This deal provides Vectura with an excellent partner, with a strong track record in respiratory product development and commercialisation, committed to the successful development of VR315 for the lucrative US market. This is a major endorsement of the potential value of this product, Vectura's technology and product development expertise."