Ionis and Royalty Pharma enter into royalty agreement for up to $1.1 billion to further advance Ionis' genetic medicines and commercial readiness
Royalty Pharmato acquire an interest in SPINRAZA® and pelacarsen royalties -- Ionis retains majority of royalties and all milestones from Novartis for pelacarsen Royalty Pharmato pay Ionis $500 millionupfront and up to $625 millionin milestones
- Agreement enables Ionis to achieve commercial readiness for multiple late-stage programs and advance its innovative pipeline of genetic medicines
SPINRAZA is the global foundation of care for the treatment of people living with spinal muscular atrophy (SMA). Biogen licensed SPINRAZA from Ionis in 2016. Pelacarsen is a potentially first-in-class treatment specifically targeting elevated lipoprotein(a), or Lp(a), an independent, inherited, and causal risk factor for cardiovascular disease. Novartis licensed pelacarsen from Ionis in 2019.
"This transaction provides us with significant capital to reach our strategic objectives, the first of which is to achieve commercial readiness for our late-stage programs eplontersen, olezarsen and donidalorsen. It also enables us to further advance our deep and innovative pipeline so that we can continue to deliver a steady cadence of new genetic medicines to the market," said
"We are thrilled to partner with Ionis, an innovator in genetic medicine. This investment is consistent with our strategy of acquiring royalties on innovative therapies in areas of high unmet patient need," said
Under the terms of the monetization transaction,
- 25% of Ionis' SPINRAZA royalty payments through 2027, increasing to 45% of royalty payments in 2028, on up to
$1.5 billionin annual sales. Royalty Pharma'sroyalty interest in SPINRAZA will revert to Ionis after total SPINRAZA royalty payments reach either $475 millionor $550 million, depending on the timing and occurrence of certain events; and
- 25% of Ionis' pelacarsen royalty payments.
Under the terms of Ionis' exclusive licensing agreement with Biogen, Ionis is entitled to tiered royalties up to the mid-teens on annual worldwide net sales of SPINRAZA. Ionis' exclusive license agreement with Novartis entitles Ionis to receive tiered royalties in the mid-teens to low 20% range on net sales of pelacarsen. Ionis also retains all rights to
Additional information regarding the monetization agreement is available in a Current Report on Form 8-K Ionis filed today with the
Cowen acted as financial advisor to Ionis and Cooley acted as its legal advisor.
About SPINRAZA® (nusinersen)
SPINRAZA is the first approved therapy for the treatment of spinal muscular atrophy (SMA) and remains the global market leader and foundation of care for patients of all ages living with the disease. To date, more than 13,000 SMA patients have been treated with SPINRAZA worldwide. The SPINRAZA clinical development program encompasses 10 clinical studies, which have included more than 300 individuals across a broad spectrum of patient populations including two randomized controlled studies (ENDEAR and CHERISH). The ongoing SHINE and NURTURE open-label extension studies are evaluating the long-term impact of SPINRAZA. The most common adverse events observed in clinical studies were respiratory infection, fever, constipation, headache, vomiting and back pain. Laboratory tests can monitor for renal toxicity and coagulation abnormalities, including acute severe low platelet counts, which have been observed after administration of some ASOs.
Biogen licensed the global rights to develop, manufacture and commercialize SPINRAZA from
Pelacarsen, licensed by Novartis for exclusive worldwide development, manufacturing and commercialization, is an investigational antisense medicine designed to reduce apolipoprotein(a) production in the liver to offer a direct approach for reducing circulating lipoprotein(a), or Lp(a), an atherogenic, pro-inflammatory and thrombogenic lipoprotein that induces additional cardiovascular risk independent of other cardiovascular risk factors.
For more than 30 years, Ionis has been the leader in RNA-targeted therapy, pioneering new markets and changing standards of care with its novel antisense technology. Ionis currently has three marketed medicines and a premier late-stage pipeline highlighted by industry-leading cardiovascular and neurological franchises. Our scientific innovation began and continues with the knowledge that sick people depend on us, which fuels our vision to become the leader in genetic medicine, utilizing a multi-platform approach to discover, develop and deliver life-transforming therapies.
To learn more about Ionis visit www.ionispharma.com and follow us on Twitter @ionispharma.
Founded in 1996,
Ionis' Forward-looking Statements
This press release includes forward-looking statements regarding Ionis' transaction with
Although Ionis' forward-looking statements reflect the good faith judgment of its management, these statements are based only on facts and factors currently known by Ionis. As a result, you are cautioned not to rely on these forward-looking statements. These and other risks concerning Ionis' programs are described in additional detail in Ionis' annual report on Form 10-K for the year ended
In this press release, unless the context requires otherwise, "Ionis," "Company," "we," "our," and "us" refers to
Royalty Pharma Forward-looking Statements
The information set forth herein does not purport to be complete or to contain all of the information you may desire. Statements contained herein are made as of the date of this document unless stated otherwise, and neither the delivery of this document at any time, nor any sale of securities, shall under any circumstances create an implication that the information contained herein is correct as of any time after such date or that information will be updated or revised to reflect information that subsequently becomes available or changes occurring after the date hereof.
This document contains statements that constitute "forward-looking statements" as that term is defined in
Certain information contained in this document relates to or is based on studies, publications, surveys and other data obtained from third-party sources and the company's own internal estimates and research. While the company believes these third-party sources to be reliable as of the date of this document, it has not independently verified, and makes no representation as to the adequacy, fairness, accuracy or completeness of, any information obtained from third-party sources. In addition, all of the market data included in this document involves a number of assumptions and limitations, and there can be no guarantee as to the accuracy or reliability of such assumptions. Finally, while the company believes its own internal research is reliable, such research has not been verified by any independent source.
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