Business
Spero Therapeutics Announces $40 Million Equity Investment from Pfizer Inc. and Licensing Agreement for SPR206
Spero grants Pfizer rights to develop, manufacture, and commercialize SPR206 in ex-U.S. and ex-Asia territories in exchange for potential development and
About this update from Spero Therapeutics, Inc.
[{"type":"text","content":"Spero grants Pfizer rights to develop, manufacture, and commercialize SPR206 in ex-U.S. and ex-Asia territories in exchange for potential development and commercial milestone payments and royalties.\nCAMBRIDGE, Mass., June 30, 2021 (GLOBE NEWSWIRE) -- Spero Therapeutics, Inc. (Nasdaq: SPRO) – a multi-asset clinical-stage biopharmaceutical company focused on identifying, developing, and commercializing treatments in high unmet need areas involving multi-drug resistant bacterial infections and rare diseases – today announced that Pfizer Inc. (NYSE: PFE) has made a $40 million equity investment in Spero as part of the Pfizer Breakthrough Growth Initiative, a program focused on funding innovative science to meet patient needs. The two parties have also entered into a licensing agreement for SPR206, Spero’s intravenously (IV)-administered next-generation polymyxin product candidate being developed to treat serious multi-drug resistant (MDR) Gram-negative infections in the hospital setting. Spero intends to use the proceeds from the equity investment to prepare for the potential approval and launch of tebipenem HBr, as well as to support the continued clinical development of SPR720 and SPR206. Pfizer purchased 2,362,348 shares of Spero’s common stock at a price of $16.93 per share, pursuant to a securities purchase agreement between the parties. Pursuant to a licensing agreement between the parties, Spero has granted Pfizer the rights to develop, manufacture, and commercialize SPR206 in ex-U.S. and ex-Asia territories. In exchange for these rights, Spero is eligible to receive up to $80 million in development and sales milestones, and high single digit to low double-digit royalties on net sales of SPR206 in these territories. “We are thrilled to reach these agreements with Pfizer, which serve as further external validation for our pipeline and corporate strategy,” said Ankit Mahadevia, M.D., Chief Executive Officer of Spero Therapeutics. “The newly announced equity investment will provide us with valuable capital and financial flexibility as we advance our SPR206 and SPR720 clinical programs and work towards an NDA filing for tebipenem HBr. We also expect the licensing agreement for SPR206 will be key to expanding global access to this important candidate, as Pfizer is uniquely positioned to successfully commercialize this asset in th...