Business
Sol-Gel Technologies Announces Sale of Generic Dermatology Portfolio to Partner Padagis for $21 Million
- Sol-Gel to receive $21 million over 24 months in exchange for the transfer of its rights to two marketed generic drugs and eight unapproved generic
About this update from Sol-gel Technologies Ltd.
[{"type":"text","content":" - Sol-Gel to receive $21 million over 24 months in exchange for the transfer of its rights to two marketed generic drugs and eight unapproved generic programs - Sol-Gel to retain two generic programs encompassing four high-value generic drug candidates - Sol-Gel’s cash runway expected to extend through at least Q4 2023 - Sol-Gel’s focus remains on supporting Galderma to launch TWYNEO®, and EPSOLAY®, subject to its FDA approval, along with advancing its innovative pipeline of assets NESS ZIONA, Israel, Nov. 04, 2021 (GLOBE NEWSWIRE) -- Sol-Gel Technologies, Ltd. (Nasdaq: SLGL), (“Sol-Gel”), a dermatology company focused on identifying, developing and commercializing branded and generic topical drug products for the treatment of skin diseases, today announced a new agreement with Padagis (formerly a division of Perrigo Company plc) (the “Agreement”), which will replace prior collaborative agreements for the development and commercialization of certain generic drugs for skin diseases. After a thorough strategic analysis, and following encouraging results from previously disclosed pre-clinical studies, Sol-Gel decided to focus on expediting the advancement of its innovative pipeline into clinical-stage development. Sol-Gel therefore decided to sell to Padagis its rights related to 10 generic collaborative agreements between the parties, including the agreements for acyclovir cream, ivermectin cream, halobetasol propionate lotion, and halobetasol propionate and tazarotene lotion. Under the new Agreement, Sol-Gel has retained collaboration rights to two generic programs related to four generic drug candidates that it believes to have the most value-generating potential. Under the terms of the new Agreement with Padagis, effective as of November 1, 2021, Sol-Gel will unconditionally receive $21 million over 24 months, in lieu of its share in future gross profits for acyclovir cream and ivermectin cream and its potential gross profits for eight unapproved generic programs. The new Agreement also provides that, effective as of November 1, 2021, Sol-Gel will cease paying any outstanding and future operational costs related to the collaborative agreements. Importantly, this Agreement is expected to extend Sol-Gel’s cash runway until at least the end of 2023. Alon Seri-Levy, Co-Founder and CEO of Sol-Gel, stated, “Today’s announcement high...