**EXHIBIT 3**

 

** **

** **

Intellectual property assignment deed

** **

 

Stragen International N.V.

 

Stragen Investment B.V.

 

Stragen Pharma S.A.

 

ChemGenex Pharmaceuticals Limited ACN 000 248305

 

Version:    26 May 2008

 

----

 

 

Table of contents

 
| **Parties**      | **1**                              |
|------------------|------------------------------------|
|             |                               |
| **Background**   | **1**                              |
|             |                               |
| **Agreed terms** | **1**                              |
|             |                               |   |
| **1**            | **Definitions and interpretation** | **1** |
|             | 1.1                                | Definitions | 1 |
|             | 1.2                                | Interpretation | 4 |
|             |                               |   |   |
| **2**            | **Conditions precedent**           | **5** |
|             | 2.1                                | Condition  precedent | 5 |
|             | 2.2                                | Parties  must cooperate | 5 |
|             | 2.3                                | Termination  if conditions not fulfilled | 6 |
|             | 2.4                                | Effect  of failure to satisfy Condition Precedent | 6 |
|             |                               |   |   |
| **3**            | **Assignment**                     | **6** |
|             | 3.1                                | Assignment  and licences | 6 |
|             | 3.2                                | Rights  and restrictions | 7 |
|             | 3.3                                | Further  assurances | 7 |
|             | 3.4                                | Data  transfer | 7 |
|             | 3.5                                | Additional  information and materials | 8 |
|             | 3.6                                | Registration  and maintenance of patents | 8 |
|             |                               |   |   |
| **4**            | **Warranties**                     | **9** |
|             | 4.1                                | Capacity  warranties | 9 |
|             | 4.2                                | Intellectual  Property Rights warranties | 9 |
|             |                               |   |   |
| **5**            | **Indemnity**                      | **10** |
|             | 5.1                                | Stragen  indemnity | 10 |
|             |                               |   |   |
| **6**            | **Merger and survival**            | **10** |
|             | 6.1                                | Merger | 10 |
|             | 6.2                                | Survival | 10 |
|             |                               |   |   |
| **7**            | **Notices**                        | **10** |
|             | 7.1                                | Method  of giving notice | 10 |
|             | 7.2                                | When  is notice given | 11 |
|             | 7.3                                | Address  for notices | 11 |
|             |                               |   |   |
| **8**            | **General**                        | **11** |
|             | 8.1                                | Power  of attorney | 11 |

 

----

 
|                | 8.2                 | Rights  cumulative              | 11     |
|---------------------|---------------------|---------------------------------|--------|
|                | 8.3                 | Time  of the essence            | 11     |
|                | 8.4                 | Amendments                      | 11     |
|                | 8.5                 | Approval  and consent           | 11     |
|                | 8.6                 | Costs                           | 11     |
|                | 8.7                 | Assignment  and novation        | 12     |
|                | 8.8                 | Counterparts                    | 12     |
|                | 8.9                 | Entire  agreement               | 12     |
|                | 8.10                | Governing  law and jurisdiction | 12     |
|                | 8.11                | Joint  and several liability    | 12     |
|                | 8.12                | Waiver                          | 13     |
|                | 8.13                | Negation  of agency             | 13     |
|                | 8.14                | Severability                    | 13     |
|                | 8.15                | Force  majeure                  | 13     |
|                |                |                            |   |
| **Schedule 1** | ** **          | **14**                          |
| ** **          | **General**         | ** **                      | **14** |
|                |                |                            |   |
| **Schedule 2** | ** **          | **15**                          |
| ** **          | **Stragen Patents** | **15**                          |
|                |                |                            |   |
| **Execution**       | ** **          | **16**                          |

 

2

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Intellectual property assignment deed

 

Dated May 29, 2008

 

Parties

 
| **Assignor** | **Stragen International N.V.,  PO Box 897, Willemstad, Curaçao, Netherlands Antilles**

** **

**Stragen Investment B.V.,  Westblaak 89, PO Box 23169, 3012 KG Rotterdam, Netherlands**

 

**and**

 

**Stragen Pharma S.A., 3, Rue****Hugo-de-Senger, PO Box 617, CH-1211  Geneva 4**

 

(jointly and severally) |
|--------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| ** **   | ** **                                                                                                                                                                                                                                                                                                                                                        |
| **Assignee** | **ChemGenex Pharmaceuticals  Limited ACN 000 248 304**                                                                                                                                                                                                                                                                                                            |

 

Background

 

A                                     TheAssignee wishes to obtain the Assigned IP.

 

B                                       TheAssignor has agreed to assign ownership of the Assigned IP to the Assignee fromthe Effective Date on the terms of this deed.

 

Agreed terms

 

# **1****                                       ****Definitions and interpretation**

#  

## **1.1****                             ****Definitions**

##  

In this deed:

 
| **Term**      | ** ** | **Definition**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
|---------------|------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| ** **    |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| **Affiliate** |       | means, with respect to a person, any other  person which directly or indirectly owns or controls or is owned or  controlled by, or is under common control with, the specified person. A  corporation or other entity will be regarded as in control of another  corporation or entity if it owns or directly or indirectly controls 50% or  more of the voting stock or other ownership interest of the other corporation  or entity, or if it possess, directly or indirectly, the power to direct or  cause the direction of the management and policies of the corporation or  other entity. |

 

----

 
| **Term**                             | ** ** | **Definition**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
|--------------------------------------|------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| ** **                           |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| **Assigned IP**                      |       | means the Intellectual Property Rights  associated with:

(a)                                  the  Stragen Patents;  

(b)                                 the  Trade Marks; and  

(c)                                  all  Improvements of or to any of the Intellectual Property Rights referred to in  subparagraphs (a) and (b),  

and includes all Intellectual Property Rights  associated with any of the items referred to in subparagraphs (a),  (b) or (c) created after the date of this document during the term  of the OMA Supply Agreement. |
| ** **                           |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| **Assignor’s Agent to the FDA** |       | means Damaris DeGraft-Johnson or a suitably  qualified replacement mutually agreed by both the Assignor and the Assignee.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| ** **                           |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| **ASX**                              |       | means the Australian Securities Exchange.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| ** **                           |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| **Business Day**                     |       | means a day that is not a Saturday, Sunday or  public holiday in Melbourne, Australia or Geneva, Switzerland.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| ** **                           |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| **Corporations Act**                 |       | means *Corporations  Act 2001*(Cth).                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| ** **                           |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| **DMF**                              |       | means drug master file.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
| ** **                           |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| **Effective Date**                   |       | means the date specified in Schedule 1.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
| ** **                           |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| **Escrow Agent**                     |       | means John Iglehart, Attorney at law, Rue  François Bellot 16, 1206 Geneva, Switzerland.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| ** **                           |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| **Escrow Materials**                 |       | means the materials referred to in  clauses 3.4(b) and 3.4(c) and includes Improvements and  Revisions to or of the Escrow Materials.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| ** **                           |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| **Government Agency**                |       | means:

(a)                                  a  government or government department or other body;  

(b)                                 a  government, semi-governmental or judicial person; or  

(c)                                  a person  (whether autonomous or not) who is charged with the administration of a law.                                                                                                                                                                                                                                                        |
| ** **                           |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| **Improvements**                     |       | includes improvements, modifications and  developments.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
| ** **                           |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| **Intellectual Property Rights**     |       | means all intellectual property rights, both  in Australia and throughout the world, and includes any copyright, future  copyright, Patent, Trade Mark, or right of registration of such rights.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| ** **                           |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| **NASDAQ**                           |       | means the United States securities exchange  known by that acronym.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| ** **                           |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| **OMA**                              |       | means omacetaxine  mepesuccinate (also known as homoharringtonine) being the compound having the  chemical name**cephalotaxine, 4’methyl  (2’R)-hydroxyl-2’-(4”-hydroxyl-4”-methylpentyl) butanedioate (ester),**[3R]  and the empirical formula C29-H39-N-09, and its derivatives, analogs and  homologs.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| ** **                           |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| **OMA API**                          |       | means OMA as an active pharmaceutical  ingredient.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| ** **                           |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| **OMA Products**                     |       | means any drug product containing OMA as an  active pharmaceutical ingredient.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |

 

2

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| **Term**                 | ** ** | **Definition**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
|--------------------------|------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| ** **               |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| **OMA Supply Agreement** |       | means the agreement made or to be made  between the Assignee and Stragen Investment B.V. on or about the date of  this document for supply of OMA API and OMA Products to the Assignee.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| ** **               |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| **Patent**               |       | includes:

(a)                                  granted  patents and patent applications;  

(b)                                 continuations,  continuations-in-part or divisional applications;  

(c)                                  patents  issuing on pending, continuing, continuation-in-part or divisional  applications, including extensions, re-issues and re-examinations; and  

(d)                                 any and  all corresponding foreign applications and patents, including any additions,  confirmations, extensions, registrations, renewals, revalidation,  substitution and supplementary protection certificates.                            |
| ** **               |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| **Quality**              |       | has the meaning given to that term in the  clause 6.3(a) of the OMA Supply Agreement.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| ** **               |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| **Regulatory Agency**    |       | means any supra-national, federal, state or  local regulatory agency or government authority.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| ** **               |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| **Regulatory Filings**   |       | means all regulatory filings and submissions (except restricted  confidential information in the DMF)made by the Assignor for the development,  sale, supply or manufacture of OMA API or OMA Products and includes all  associated data including:

(a)                                  preclinical and clinical data; and  

(b)                                 chemistry, manufacturing and  controls data.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| ** **               |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| **Revisions**            |       | means revised versions of Regulatory Filings  including the restricted confidential information in the DMF.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| ** **               |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| **Shares**               |       | means 37,235,343 ordinary shares in ChemGenex  Pharmaceuticals Limited ACN 000 248 304.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
| ** **               |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| **Stragen Knowhow**      |       | means proprietary techniques, test results,  information and data in relation to OMA, OMA API and OMA Products  including inventions, practices, methods, knowledge, knowhow, assays,  compositions of matter, test data (including pharmacological, toxicological  and clinical test data), analytical and quality control data, manufacturing  data and descriptions which is within the control or knowledge of the  Assignor, or which is developed or acquired by the Assignor, whether prior to  or during the term of the OMA Supply Agreement.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| ** **               |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| **Stragen Patents**      |       | means the Assignor’s worldwide:

(a)                                  granted  patents and patent applications;  

(b)                                 continuations,  continuations-in-part or divisional applications;  

(c)                                  patents  issuing on pending, continuing, continuation-in-part or divisional  applications, including extensions, re-issues and re-examinations; and  

(d)                                 any and  all corresponding foreign applications and patents, including any additions,  confirmations, extensions, registrations, renewals, revalidation,  substitution and supplementary protection certificates, |

 

3

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| **Term**          | ** ** | **Definition**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|-------------------|------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| ** **        |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
| ** **        |       | that cover the manufacture, exploitation,  sale, offer for sale or importation of OMA, OMA API or OMA Products as set  out in the list of patents attached as Schedule 2.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| ** **        |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
| **Trade Mark**    |       | includes:

(a)                                  registered  trade marks and trade mark applications; 

(b)                                 unregistered  trade marks; 

(c)                                  divisional  applications; 

(d)                                 registrations  obtained on pending or divisional applications; and 

(e)                                  any and  all corresponding foreign applications and registrations,  

 

for the words ‘MYELOSTAT’ and other marks  that the Assignor registers anywhere in the world with respect to OMA, OMA  API or OMA Products. |
| ** **        |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
| **Trade Secrets** |       | means all secret processes, formulae and  technical information relating to the use of the Stragen Patents which is  possessed, developed or acquired by the Stragen prior to or during the term  of the OMA Supply Agreement, if any.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |

##  

## **1.2****                             ****Interpretation**

##  

In this deed:

 

### (a)                                 a singular word includesthe plural and vice versa;

###  

### (b)                                a word which suggestsone gender includes the other gender;

###  

### (c)                                 a reference to a clause,schedule, annexure or party is a reference to a clause of, and a schedule,annexure or party to, this deed and references to this deed include anyschedules or annexures;

###  

### (d)                                a reference to a partyto this deed or any other document or agreement includes the party’ssuccessors, permitted substitutes and permitted assigns;

###  

### (e)                                 if a word or phrase isdefined, its other grammatical forms have a corresponding meaning;

###  

### (f)                                   a reference to adocument or agreement (including a reference to this deed) is to that documentor agreement as amended, novated, supplemented, varied or replaced;

###  

### (g)                                a reference tolegislation or to a provision of legislation (including subordinate legislation)is to that legislation as amended, re-enacted or replaced, and includes anysubordinate legislation issued under it;

###  

### (h)                                a reference to a personincludes a corporation, trust, partnership, unincorporated body, government andlocal authority or agency, or other entity whether or not it comprises aseparate legal entity;

###  

### (i)                                    a reference to ‘month’means calendar month;

 

4

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### (j)                                     no rule ofconstruction applies in the interpretation of this deed to the disadvantage ofthe party preparing the document on the basis that it put forward this documentor any part of it;

###  

### (k)                                  a reference to ‘$’ or ‘dollar’is to Australian currency;

###  

### (l)                                     the meaning of anygeneral language is not restricted by any accompanying example, and the words ‘includes’,‘including’, ‘such as’ or ‘for example’ (or similar phrases) do not limit whatelse might be included;

###  

### (m)                               a reference to ‘writing’includes any method of representing or reproducing words, figures or symbols inpermanent and visible form, but does not include electronic form unlessexpressly stated to include electronic form;

###  

### (n)                                clause headings are forconvenient reference only and have no effect in limiting or extending thelanguage to which they refer;

###  

### (o)                                 a reference to a partyis a reference to the Assignor or Assignee, and a reference to the parties is areference to both the Assignor and the Assignee; and

###  

### (p)                                 each party must bear itsown costs in relation to the preparation, negotiation, signing and performanceof this agreement.

###  

# **2****                                       ****Conditions precedent**

#  

## **2.1****                             ****Conditionprecedent**

##  

Except for this clause and clauses 7 and 8, this document isconditional on satisfaction of the following conditions (**Conditions Precedent**):

 

### (a)                                The requisite majorityof the Assignee’s shareholders must by 31 July 2008 approve the issueand the allotment of the Shares to Stragen International N.V. ., at a generalmeeting of shareholders (**General Meeting**),as required under ASX Listing Rule 7.1 (or an applicable waiver from ASX)and otherwise in accordance with the Corporations Act, the ASX Listing Rules andthe NASDAQ Rules as applicable;

###  

### (b)                               Stragen InternationalN.V . must by 31 July 2008 provide the Assignee with confirmation that theissue, sale and delivery of the Shares to Stragen International N.V. , isexempt from the requirements to file a prospectus or deliver an offeringmemorandum under applicable securities legislation in Stragen International N.V.’shome jurisdiction, together with such certification as the Assignee mayreasonably require to confirm compliance with the relevant requirements; and

###  

### (c)                                The Shares must beallotted and issued to Stragen International N.V. within 48 hours afterthe conclusion of the General Meeting.

###  

## **2.2****                             ****Partiesmust cooperate**

##  

Each party must:

 

### (a)                                cooperate with the other and use reasonable endeavours to ensurethat the conditions in clause 2.1 are satisfied as soon as is reasonablypossible;

 

### (b)                               sign and deliver all documents andinstruments and do everything necessary or desirable to carry out itsobligations under this clause;

 

5

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### (c)                                take no action that might prevent or hinder thesatisfaction of the Conditions Precedent;

 

### (d)                               keep the other party regularly informed of the status ofany discussions or negotiations about the Conditions Precedent; and

 

### (e)                                promptly notify the other party on becoming aware ofthe satisfaction of any Conditions Precedent or of any Conditions Precedentbecoming incapable of being satisfied.

 

## **2.3****                             ****Terminationif conditions not fulfilled**

##  

### (a)                                If by 3 August 2008or another date the parties agree in writing, any of the Conditions Precedentremain unsatisfied, either party may by written notice to the other party,terminate this document.

###  

## **2.4****                             ****Effectof failure to satisfy Condition Precedent**

##  

If this document is terminated under clause 2.3:

 

(a)                                 thisdocument terminates and it is of no further effect except for this clause; and

 

(b)                                 theHHT Development and Commercialisation Agreement made between the parties on27 June 2005 and the Supply and Distribution Agreement of 27 June 2005will apply.

 

# **3****                                       ****Assignment**

#  

## **3.1****                             ****Assignmentand licences**

##  

### (a)                                The Assignor assigns tothe Assignee all right, title and interest in the Assigned IP on theEffective Date.

###  

### (b)                                 From the Effective Date,the Assignor grants to the Assignee an exclusive, perpetual, irrevocable,worldwide, royalty free licence, with the right to grant sublicences, to usethe Regulatory Filings, for any clinical development, manufacturing, testing,packaging, marketing, sale or other commercialisation of OMA API or OMAProducts.

###  

### (c)                                  Subject toclauses 3.4 and 3.5, it is understood and recognized between the partiesthat the Assignor does not assign any Stragen Knowhow or any Trade Secretsunder the terms of this document.

 

### (d)                                 From the Effective Date,the Assignee grants to Stragen Pharma S.A., for the term of the OMA SupplyAgreement, an exclusive, worldwide, royalty free licence to use:

 

#### (i)                                   the Assigned IP; and

####  

#### (ii)                                  the Regulatory Filings;

####  

### solely for the purpose ofmanufacturing OMA API and OMA Products for the Assignee in accordance with theOMA Supply Agreement.

####  

### (e)                                  The Assignor maysublicense its rights under clause 3.1(d) to an Affiliate, withoutprior approval from the Assignee, as long as there is no new manufacturer ormanufacturing facilities involved. The  requirements in clause 4.3 ofthe OMA Supply Agreement only apply to a situation where a new manufacturer ornew manufacturing facilities are concerned.

 

6

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###  

### (f)                                    The licence grantedunder clause 3.1(d) will remain in full force and effect as long asthe parties are bound by the OMA Supply Agreement.

###  

## **3.2****                             ****Rightsand restrictions**

##  

### (a)                                From the Effective Date:

###  

#### (i)                                   the Assignor assigns tothe Assignee the right to sue for and recover damages and other relief inrelation to the infringement of the Assigned IP and any causes of action thatthe Assignor has in relation to the Assigned IP, whether before or after theEffective Date; and

####  

#### (ii)                                 the Assignor must notfile any Patent that covers the manufacture, exploitation, sale, offer for saleor importation of OMA, OMA API or any OMA Product, or any process or method ofmanufacture for OMA, OMA API or any OMA Product.

####  

## **3.3****                             ****Furtherassurances**

##  

If requested by the Assignee, the Assignor must:

###  

### (a)                                bring into existence,sign, execute or otherwise deal with any document or take any action which maybe necessary to enable the vesting of the Assigned IP in the Assignee, or theregistration of the Assigned IP in the name of the Assignee; and

###  

### (b)                                 procure each person whois an inventor in relation to, or who at any time prior to the Effective Dateowned, any part of the Assigned IP, to sign all documents required to assignthe Assigned IP to the Assignee.

###  

## **3.4****                             ****Datatransfer**

##  

### (a)                                The Assignor mustdisclose, deliver and transfer to the Assignee:

###  

#### (i)                                   copies of all RegulatoryFilings; and

####  

#### (ii)                                  all other data andinformation in the possession or control of the Assignor that is necessary forthe Assignee to exercise the Assigned IP;

####  

### within 28 days of the date ofsatisfaction of the Conditions Precedent and at any other time during the termof the OMA Supply Agreement on request by the Assignee.

###  

### (b)                               Within 28 days from thedate of satisfaction of the Conditions Precedent the Assignor must deliver tothe Escrow Agent a complete, accurate and legible copy (and an additionalelectronic copy) of its latest version of the restricted part of the DMF forOMA API that is confidential to the Assignor.

###  

### (c)                                  At the same time assubmission to the relevant Regulatory Agencies, the Assignor must notify theAssignee, and deliver to the Escrow Agent a complete, accurate and legible copy(and an additional electronic copy) of:

###  

#### (i)                                   the final version of therestricted part of the DMF for OMA API that is confidential to the Assignor;and

####  

#### (ii)                                 all updated versions ofthe restricted part of the DMF for OMA API that is confidential to theAssignor, as maintained live by the relevant Regulatory Agency.

 

7

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####  

### (d)                               During the term of theOMA Supply Agreement, the Assignor must also promptly deliver to the EscrowAgent copies (including an electronic copies) of all Improvements and Revisionsto or of the Escrow Materials.

###  

### (e)                                  The Escrow Materialswill be delivered to the Escrow Agent by the Assignor.  At the latest on 31 July each year, theAssignor’s Agent to the FDA will send to the Assignee a letter attesting thatthe Escrow Materials represent the current copy of the restricted part of theDMF for OMA API.

###  

### (f)                                    The Escrow Agent must beappointed in accordance with the terms of an escrow agreement that is firstapproved by the Assignee, and which provides that:

###  

#### (i)                                   The Escrow Materials willbe held by the Escrow Agent confidentially until :

####  

##### (A)                              the expiration of theOMA Supply Agreement, in which case the Escrow Materials will be returned tothe Assignor;

#####  

##### (B)                                the termination of theOMA Supply Agreement due to no fault from the Assignor, in which case theEscrow Material will be returned to the Assignor; or

#####  

##### (C)                                the termination of theOMA Supply Agreement due to failure, or reasonably anticipated failure, tosupply Quality compliant OMA API or Quality compliant OMA Product to theAssignee, for a period of three consecutive months.  In such case, an evaluation committee (**Committee**) will be instituted to determinewhether the conditions set forth in this article are met. The Committee will becomposed of three persons, each party designating one, and jointly appointing athird person. If the Committee decides that the condition set forth in thisarticle are met, then:

#####  

###### (I)                                the Escrow Materialswill be released to the Assignee; and

######  

###### (II)                               all title andIntellectual Property Rights subsisting in and with respect to the EscrowMaterials will vest in the Assignee, and the Assignee may use and disclose theEscrow Materials.

######  

### (g)                               Should one of theparties fail to appoint a person to the Committee upon request of the otherparty (initiating party) and proper written notice, within a period of onemonth, then the decision will be deemed in favour of the initiating party.

###  

## **3.5****                             ****Additionalinformation and materials**

##  

The Assignor must provide to the Assignee, in English, any informationand other material in the possession or control of the Assignor (except for therestricted confidential information in the DMF that will be remitted directlyto the competent authority and the Escrow Agent) that the Assignee requests (orthat any Regulatory Agency requires) in support of any applications for OMAProduct registration (including regulatory filings to support clinicaldevelopment).

 

## **3.6****                             ****Registrationand maintenance of patents**

##  

### (a)                                Subject to the Assignee’sright to allow patents to lapse in accordance with clause 3.6(b), the Assigneemust do all acts, matters and things (including but not limited to the paymentof all transfer fees, maintenance and renewal fees) and execute all documentsnecessary to maintain the assigned Stragen Patents in force. The Assignee mustproduce 

 

8

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### to the Assignorperiodically evidence that that such fees have been paid and that theprotection of the assigned Stragen Patents is secured.

###  

### (b)                                 The Assignee must notifythe Assignor if it intends to allow any of the Stragen Patents to lapse.  In such case, the Assignor will have theright to redeem the patent without payment due to the Assignee.

###  

### (c)                                  The Assignee must notifythe Assignor with respect to action or proceedings instituted for the revocationof the Stragen Patents of which it is aware. The Assignee will decide whetheror not to defend, at its own cost, any such action or proceedings afterconsultation with the Assignor. Should the Assignee decide not to defend anysuch action or proceedings, then Assignor will be free to do so.

###  

# **4****                                       ****Warranties**

#  

## **4.1****                             ****Capacitywarranties**

##  

The Assignor represents and warrants, and it is condition of this deed,that:

 

### (a)                                the Assignor is avalidly existing body corporate that is incorporated (or taken to beincorporated), or registered, under applicable corporations laws;

###  

### (b)                                 the Assignor has thecorporate power to own its assets and to carry on its business as that businessis now being conducted;

###  

### (c)                                  the Assignor has fullpower and authority to enter into and perform its obligations under this deed;

###  

### (d)                                 the Assignor has takenall necessary action to authorise the execution, delivery and performance ofthis deed in accordance with its terms; and

###  

### (e)                                the execution, deliveryand performance by the Assignor of this deed does not and will not violate:

###  

#### (i)                                   its constitution orother constituent documents; or

####  

#### (ii)                                 any encumbrance ordocument which is binding upon it or any Related Body Corporate or any assetsof it or any assets of a related body corporate.

####  

## **4.2****                             ****IntellectualProperty Rights warranties**

##  

The Assignorrepresents and warrants, and it is a condition of this deed, that:

 

(a)                                  theAssignor has the right and authority by ownership to provide the Assignee withthe rights described in clauses 3.1(a) and 3.1(b) and todisclose the Regulatory Filings and the Escrow Materials;

 

(b)                                 theAssigned IP, the Regulatory Filings, the Escrow Materials, and any materialprovided to the Assignee by the Assignor under this deed will not infringe theIntellectual Property Rights or other rights of any third party; and

 

(c)                                  theexercise of the rights described in clauses 3.1(a) and 3.1(b) anduse of  the Regulatory Filings or EscrowMaterials by the Assignee will not infringe the Intellectual Property Rights orother rights of any third party.

 

9

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# **5****                                       ****Indemnity**

#  

## **5.1****                             ****Indemnity**

##  

### (a)                                Each party willindemnify the other party and the other party’s officers, directors, employees,consultants, contractors, sublicensees, subdistributors and agents, from andagainst all loss or damage (including legal costs) incurred or suffered by anyof them, however caused in connection with any breach of this document.

###  

### (b)                                 The Assignor willindemnify the Assignee, and the Assignee’s officers, directors, employees,consultants, contractors, sublicensees, subdistributors and agents, from andagainst all loss or damage (including legal costs) incurred or suffered by anyof them, however caused in connection with any claim by a third party that theexercise of the Assigned IP, or the use of the Escrow Materials, by theAssignee or any sublicensee of the Assignee infringes the Intellectual PropertyRights or other rights of that third party.

###  

# **6****                                       ****Merger and survival**

#  

## **6.1****                             ****Merger**

##  

The rights and obligations of the parties under this deed do not mergeon completion of any transaction contemplated by this deed.

 

## **6.2****                             ****Survival**

##  

Termination of this deed will not affect any provision of this deedwhich is expressly or by implication intended to come into force or continue onor after the termination.

 

# **7****                                       ****Notices**

#  

## **7.1****                             ****Methodof giving notice**

##  

A notice, consent orcommunication including any request, demand, agreement, approval orconfirmation under this deed is only effective if it is:

 

### (a)                                in legible writing,signed by or on behalf of the person giving it;

###  

### (b)                                 in English;

###  

### (c)                                  addressed to the personto whom it is to be given; and

###  

### (d)                                 given as follows:

###  

#### (i)                                   delivered by hand tothat person’s address;

####  

#### (ii)                                  sent by prepaid mail(and by prepaid airmail if the person is overseas) to that person’s address; or

####  

#### (iii)                             sent by fax to thatperson’s fax number where the sender receives a transmission confirmationreport from the despatching machine indicating the transmission has been madewithout error and showing the relevant number of pages and the correctdestination fax number or name of recipient.

 

10

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## **7.2****                             ****When isnotice given**

##  

A notice, consent or communication delivered under clause 7.1 is givenand received:

 

### (a)                                if it is hand deliveredor sent by fax:

###  

#### (i)                                   by 5.00pm (local time inthe place of receipt) on a Business Day, on that day; or

####  

#### (ii)                                 after 5.00pm (local timein the place of receipt) on a Business Day, or on a day that is not a BusinessDay, on the next Business Day; and

####  

### (b)                               if it is sent by post:

###  

#### (i)                                   within Australia, threeBusiness Days after posting; or

####  

#### (ii)                                  to or from a placeoutside Australia, seven Business Days after posting.

####  

## **7.3****                             ****Addressfor notices**

##  

A party’s address and fax number are those set out in Schedule 1 ofthis deed (if any), or as the party notifies the sender.

 

# **8****                                       ****General**

#  

## **8.1****                             ****Powerof attorney**

##  

The Assignor will appoint the chief executive officer of the Assignee,whenever necessary,  from time to time asits attorney for the purposes of signing all documents  required to transfer or register the AssignedIP in the name of the Assignee, or with respect to the lodgement of anyregulatory filings or submissions with respect to OMA, OMA API or OMA Products.

 

## **8.2****                             ****Rightscumulative**

##  

Unless expressly stated otherwise in this deed, the rights and remediesunder any indemnity or otherwise provided under this deed are cumulative andnot exclusive of any rights or remedies provided by law or any other right orremedy.

 

## **8.3****                             ****Time ofthe essence**

##  

Time is of the essence in the performance of obligations of theparties  under this deed.

 

## **8.4****                             ****Amendments**

##  

This deed may only be amended by written agreement between all parties.

 

## **8.5****                             ****Approvaland consent**

##  

Where this deed contemplates that one party  may consent to, elect, determine, approve,nominate, decide or consider any matter or thing, that party  may provide such consent or make suchelection, determination, approval, nomination, decision or consideration in itsabsolute discretion and conditionally or unconditionally without being requiredto give reasons or act reasonably, unless this deed expressly requiresotherwise.

 

## **8.6****                             ****Costs**

##  

### (a)                                Each party must bear itsown costs in relation to the preparation, negotiation, signing and performanceof this document.

 

11

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### (b)           The Assignee must payall stamp duty (including penalties and interest) assessed or payable inconnection with this deed.

###  

### (c)           The Assignee must payall stamp duties (including fines, penalties and interest) imposed or levied inAustralia in connection with the transfer of the Assigned IP or the issue andallotment of the Shares pursuant to this document, excluding any capital gains,income or other taxes that may subsequently be payable with respect to theShares.

###  

## **8.7**          **Assignmentand novation**

##  

### (a)           The Assignor must notassign (except to it’s Affiliates, where Assignee’s consent is not requiredexcept to the extent that a new manufacturer or new manufacturing facilitiesare involved), in whole or in part, or novate the Assignor’s rights andobligations under this deed without the prior consent of the Assignee, providedthat the Assignor remains liable to the Assignee with respect to any breach ofthe Assignor’s obligations or warranties under this document.

###  

### (b)           The Assignee may assignits interest under this deed.

###  

### (c)           If required by theAssignee the Assignor must enter into a deed of novation with the Assignee anda third party nominated by the Assignee on terms specified by the Assignee.

###  

## **8.8**          **Counterparts**

##  

This deed may be executed in any number of counterpartsand all counterparts together make one instrument.

 

## **8.9**          **Entireagreement**

##  

This deed represents the parties’ entireagreement, and supersedes all prior representations, communications,agreements, statements and understandings, whether oral or in writing, relatingto its subject matter.

 

## **8.10**        **Governinglaw and jurisdiction**

##  

### (a)           This document will begoverned by and construed in accordance with the laws of Switzerland, State ofGeneva.

###  

### (b)           In the event of anydispute arising between the parties in connection with this document, the partyconsidering that a dispute has arisen, must issue a notice to the other partysetting out reasonable particulars about the dispute.

###  

### (c)           Each party’s presidentor chief executive officer  must thenmeet and negotiate in good faith to resolve the dispute amicably.

###  

### (d)           If the dispute is notsettled within 60 days after the meeting referred to in the previous subclause,the dispute will be finally settled in accordance with the rules of theInternational Chamber of Commerce (ICC) by one arbitrator appointed inaccordance with those rules.  Thearbitration will take place in Geneva. The language of the arbitration will be English.

###  

## **8.11**        **Jointand several liability**

##  

If a party to this deed consists of more thanone person then an obligation of those persons under this deed is joint andseveral.

 

12

----

 

## **8.12**        **Waiver**

##  

### (a)           The failure of a partyat any time to require full or partial performance of any provision of thisdeed does not affect in any way the right of that party to require thatperformance subsequently.

###  

### (b)           A single or partialexercise of or waiver of the exercise of any right, power or remedy does notpreclude any other or further exercise of that or any other right, power orremedy.

###  

### (c)           A right under this deedmay only be waived in writing signed by the party granting the waiver, and iseffective only to the extent specifically set out in the waiver.

###  

## **8.13**        **Negationof agency**

##  

### Unless expresslystated otherwise, this deed does not create a relationship of employment,trust, agency or partnership between the parties.

###  

## **8.14**        **Severability**

##  

Each provision of this deed will be read andconstrued as a separate and severable provision or part and if any provision isvoid or otherwise unenforceable for any reason then that provision will besevered and the remainder will be read and construed as if the severableprovision had never existed.

 

## **8.15**        **Forcemajeure**

##  

### (a)           Neither party shall bein default for any failure to fulfill any of its obligations under thisdocument caused by Force Majeure. Each party must notify the other partyimmediately upon occurrence of Force Majeure and during the whole durationthereof. Notwithstanding this provision, the party claiming Force Majeure willbe required to use its best commercially reasonable efforts to fulfill itsperformance by other means.

###  

### (b)           For the purpose of thisAgreement, Force Majeure is defined as follows: causes beyond the bestendeavors of either party to avoid and beyond the control of the affected partywithout its fault or negligence, including without limitation, strikes ordestruction or disruption of production facilities by fire or storm, failure ofpublic utilities or of carriers.

###  

### (c)           If such Force Majeureprevents either party from fulfilling its obligations under this document formore than one hundred and twenty (120) days, then the other party shall havethe right to terminate this Agreement.

 

13

----

 

Schedule 1

 

General

 
| **Effective Date**                   |   | means the date of the allotment of the Shares  to Stragen International N.V.                                               |
|--------------------------------------|--------|----------------------------------------------------------------------------------------------------------------------------|
| ** **                           |   |                                                                                                                       |
| **Address for service of  Assignor** |   | C/o Stragen Pharma S.A.

3, Rue Hugo-de-Senger

PO Box 617

CH-1211 Geneva 4

 

Fax + 41 22 809 40 99 |
| ** **                           |   |                                                                                                                       |
| **Address for service of  Assignee** |   | Level 4

199 Moorabool Street

Geelong, Victoria, 3220

Australia

 

Fax + 61 3 5229 0100                            |

 

14

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Schedule 2

 

Stragen Patents

 

15

----

 

Execution

 

EXECUTED as a deed

 

Signed sealed and delivered 

by Stragen InternationalN.V. by:

 

 
|   |                              |   |   |                                        |
|--------|-----------------------------------|--------|--------|---------------------------------------------|
| · |   Director              |   | · |   Director/Secretary              |
|   |                              |   |   |                                        |
|   |                              |   |   |                                        |
|   |                              |   |   |                                        |
| · |   Full name of Director |   | · |   Full name of Director/Secretary |

 

 

Signed sealed and delivered 

by Stragen Investment B.V. by:

 
|   |                              |   |   |                                        |
|--------|-----------------------------------|--------|--------|---------------------------------------------|
| · |   Director              |   | · |   Director/Secretary              |
|   |                              |   |   |                                        |
|   |                              |   |   |                                        |
|   |                              |   |   |                                        |
| · |   Full name of Director |   | · |   Full name of Director/Secretary |

 

 

Signed sealed and delivered 

by Stragen Pharma S.A. by:

 

 
|   |                              |   |   |                                        |
|--------|-----------------------------------|--------|--------|---------------------------------------------|
| · |   Director              |   | · |   Director/Secretary              |
|   |                              |   |   |                                        |
|   |                              |   |   |                                        |
|   |                              |   |   |                                        |
| · |   Full name of Director |   | · |   Full name of Director/Secretary |

 

16

----

 

Signedsealed and delivered

byChemGenex Pharmaceuticals LimitedACN 000 248 304 by:

 

 
|   |                              |   |   |                                        |
|--------|-----------------------------------|--------|--------|---------------------------------------------|
| · |   Director              |   | · |   Director/Secretary              |
|   |                              |   |   |                                        |
|   |                              |   |   |                                        |
|   |                              |   |   |                                        |
| · |   Full name of Director |   | · |   Full name of Director/Secretary |

 

17

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