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FAQ: ABVC BioPharma's Licensing Partnership with OncoX BioPharma and Business Model
TL;DR
ABVC's licensing model with OncoX provides investors competitive advantage through predictable cash flow and future 5% royalties on up to $55 million in sales.
ABVC's three-tier business model generates short-term licensing payments and long-term royalty revenue by transforming R&D assets into scalable, asset-light partnerships.
This partnership advances plant-based cancer therapies that could improve treatment options for breast cancer, lung cancer, and other serious conditions worldwide.
OncoX develops cancer treatments from maitake mushroom extract while building a global biotechnology network connecting US and Asian markets.
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ABVC BioPharma has received an additional $100,000 licensing payment from OncoX BioPharma, marking the fifth licensing payment in 2025 and bringing total payments to $695,950 under their existing agreement.
This payment demonstrates cash-flow visibility and consistent milestone execution, advancing ABVC's multi-partner licensing strategy and supporting their transition to an asset-light, cash-visible international licensing platform.
OncoX BioPharma is a U.S.-based biotechnology company specializing in developing plant-derived oncology therapeutics, with a lead candidate derived from maitake mushroom extract targeting multiple cancers.
OncoX's lead candidate has shown potential in treating triple-negative breast cancer, non-small-cell lung cancer, pancreatic cancer, and myelodysplastic syndrome (MDS).
ABVC's model includes short-term licensing payments (0-12 months), mid-term milestones, and long-term 5% royalties on net sales up to $55 million, creating sustainable, high-profit-margin recurring income.
ABVC will receive 5% royalties on net sales up to cumulative $55 million, creating a sustainable, high-profit-margin recurring income stream for the company.
Based on consolidated data across all licensing partners, ABVC's total contractual cash revenue pool has the potential to reach up to $14.25 million, with $2.14 million received as of October 2025.
This collaboration illustrates the effectiveness of ABVC's licensing-driven business model in transforming R&D assets into recurring value creation, helping transition from a research-focused company to an asset-light licensing platform.
OncoX is actively expanding into cancer-supportive care and preventative health through proprietary natural ingredients, and has acquired the Lycogen® extraction platform to enter adjacent fields including preventative medicine.
OncoX collaborates with several leading Japanese biomedical companies and academic institutions to co-develop Precision Gene-Oriented Therapies and Anti-Fibrosis Technologies, forming a biotechnology network connecting U.S. and Asian markets.
Curated from NewMediaWire

