CytRx Corp. of Norcross, Ga., announced Monday that BurroughsWellcome Co. is exercising an option to extend to Japan itslicense agreements for rights to RheothRx.

The CytRx product is a proprietary copolymer used to treatproblems with vascular blood flow, such as heart attacks,strokes and blood clots associated with sickle cell anemia.RheothRx coats the blood cells, making them slippery andeasing their passage around blood clots.

The original agreement, signed in April 1990, gave Burroughsworldwide rights except for Japan. Burroughs now will pay a$500,000 option fee for the Japanese rights, as well as approvalfees and royalties on sales.

CytRx (NASDAQ:CYTR) estimates it will earn up to $9 millionfrom the entire Burroughs agreement, including fees paid atsigning, option and milestone fees, and royalties. -- RachelNowak

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