XOMA Announces Exclusive License Agreement for XOMA 358 with Rezolute, Inc.
December 07 2017 - 8:35AM
Expands portfolio of partner-funded programs$240
million in potential milestone paymentsRoyalties ranging from the
high single-digits to mid-teens on net salesBeyond XOMA 358, XOMA
adds three additional programs to its portfolio for which it is
entitled to receive future royalties
XOMA Corporation (Nasdaq:XOMA), a pioneer in the discovery,
development and licensing of therapeutic antibodies, today
announced it has licensed the global development and
commercialization rights for XOMA 358 to Rezolute, Inc.
(OTCQB:ANTB), formerly AntriaBio, Inc., a biopharmaceutical company
that specializes in developing therapies for metabolic and orphan
diseases.
Under the license agreement, XOMA is entitled to receive up to
approximately $240 million in exchange for the global XOMA 358
rights. The Company will receive payments as Rezolute achieves
specific milestones associated with financing activities, clinical
development success, regulatory milestones and commercial sales.
The terms include an allocation of $5 million in shares of Rezolute
common stock to XOMA and a further $13 million in cash and common
stock to be paid as Rezolute completes certain financing
milestones. In addition, XOMA is eligible to receive royalties
ranging from the high single-digits to mid-teens on net sales.
Rezolute is responsible for all development, regulatory,
manufacturing and commercialization activities under the license.
The Company is also entitled to receive low single-digit royalties
on net sales of AB101 and other products developed from Rezolute’s
extended release and oral plasma kallikrein inhibitor
platforms.
“Out-licensing XOMA 358 is another milestone in executing our
strategy to create long-term value for our shareholders. Rezolute’s
focus on insulin-related conditions makes them an ideal company to
continue XOMA 358’s clinical development,” stated Jim Neal, Chief
Executive Officer of XOMA. “This license agreement further expands
our portfolio of partner-funded programs that have the potential to
generate substantial milestone and royalty payments. We welcome
Rezolute to our broad portfolio of partners, including Novartis,
Five Prime and Nanotherapeutics, who continue the development of
our product candidates.”
XOMA 358 is a first-in-class fully human antibody that inhibits
the effects of elevated insulin (hyperinsulinemia) via allosteric
modulation of the insulin receptor. XOMA 358’s novel mechanism of
action makes it well-suited as a therapy for severe, persistent
hypoglycemia caused by hyperinsulinemic conditions, such as
congenial hyperinsulinism (CHI). XOMA demonstrated clinical
proof-of-concept through Phase 2a studies, and Rezolute plans to
advance XOMA 358’s clinical development in 2018. The compound has
received designated orphan status in the U.S. and European
Union.
About XOMA Corporation
XOMA has an extensive portfolio of products, programs, and
technologies that are the subject of licenses the Company has in
place with other biotech and pharmaceutical companies. Many of
these licenses are the result of the Company's pioneering efforts
in the discovery and development of antibody therapeutics. There
are more than two dozen such programs that are fully funded by
partners and could produce milestone payments and royalty payments
in the future. For more information, visit www.xoma.com.
About Rezolute, Inc. Rezolute is a
clinical stage biopharmaceutical company specializing in the
development of innovative drug therapies to improve the lives of
patients with diabetes and metabolic diseases. For more
information, visit www.rezolutebio.com.
Forward-Looking Statements
Certain statements contained in this press release are
forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933 and Section 21E of the Securities Exchange
Act of 1934, including statements regarding: contingent payments
under XOMA’s license agreement with Rezolute, Inc., the potential
of XOMA’s portfolio of partnered programs and licensed technologies
generating substantial milestone and royalty proceeds over time;
and statements that otherwise relate to future periods. These
statements are based on assumptions that may not prove accurate,
and actual results could differ materially from those anticipated
due to certain risks inherent in the biotechnology industry and for
companies engaged in the development of new products in a regulated
market. Potential risks to XOMA meeting these expectations are
described in more detail in XOMA's most recent filing on Form 10-K
and in other SEC filings. Consider such risks carefully when
considering XOMA's prospects. Any forward-looking statement in this
press release represents XOMA's views only as of the date of this
press release and should not be relied upon as representing its
views as of any subsequent date. XOMA disclaims any obligation to
update any forward-looking statement, except as required by
applicable law.
Investor contact:Luke
HeaglePure Communications+1
910-726-1372lheagle@purecommunications.com
Media contact:Julie NormartPure
Communications+1 415-946-1087jnormart@purecommunications.com
XOMA (NASDAQ:XOMA)
Historical Stock Chart
From Mar 2024 to Apr 2024
XOMA (NASDAQ:XOMA)
Historical Stock Chart
From Apr 2023 to Apr 2024