Press release
Royalty Pharma Acquires Royalty Interest in Cabozantinib From GSK
NEW YORK, April 01, 2021 (GLOBE NEWSWIRE) -- Royalty Pharma plc (Nasdaq: RPRX) today announced that it has acquired a royalty interest in the cabozantinib
About this update from Royalty Pharma Plc
[{"type":"text","content":"NEW YORK, April 01, 2021 (GLOBE NEWSWIRE) -- Royalty Pharma plc (Nasdaq: RPRX) today announced that it has acquired a royalty interest in the cabozantinib products Cabometyx and Cometriq from GlaxoSmithKline (GSK) for an upfront payment of $342 million and up to $50 million in additional payments contingent on the achievement of regulatory approvals of cabozantinib for prostate cancer and lung cancer in the U.S. and Europe. Cabometyx, a multi-tyrosine kinase inhibitor (TKI), is approved for the treatment of patients with advanced renal cell carcinoma (RCC) both as monotherapy and in combination with Bristol Myers Squibb’s Opdivo (nivolumab) as a first line treatment. Cabometyx is also approved for hepatocellular carcinoma (HCC) in patients previously treated with sorafenib. Cometriq is approved for progressive, metastatic medullary thyroid cancer. Cabometyx and Cometriq are marketed by Exelixis in the United States, and by their partner Ipsen in regions outside the U.S. and Japan. Cabometyx is marketed in Japan by Exelixis’ partner Takeda. “We are delighted to acquire this royalty stream from GSK,” said Pablo Legorreta, founder and Chief Executive Officer of Royalty Pharma. “Cabometyx is a leading TKI for the treatment of advanced kidney and liver cancer. The recent U.S. approval for the first line treatment of advanced kidney cancer in combination with Opdivo represents an important advance for patients to improve treatment outcomes and quality of life. We are impressed by the broad development program supporting Cabometyx, which includes additional studies in RCC, HCC and the potential to expand into prostate and lung cancer, as well as the strong global commercial execution.” GSK is entitled to a 3% royalty on worldwide net sales of cabozantinib products as a result of its 2002 collaboration with Exelixis. Under this transaction’s terms, Royalty Pharma has purchased royalties on cabozantinib products’ net sales in non-U.S. markets through the full term of the royalty and royalties on net sales in the U.S. through September 2026, after which U.S. royalties will remain with GSK. In 2020, sales of Cabometyx and Cometriq reported by Exelixis and Ipsen were $742 million and €289 million, respectively. Goodwin Procter, Dechert and Maiwald acted as legal advisors to Royalty Pharma on the transaction. About Royalty Pharma plc Founded...