Acer Therapeutics has reacquired the global development, commercialisation, and economic rights to Olpruva (sodium phenylbutyrate, ACER-001) from Switzerland-based Relief Therapeutics for certain urea cycle disorders (UCDs) and further potential indications.
The agreement, which excludes geographical Europe, replaces the collaboration and license pact signed between both parties in March 2021. The consideration of the new deal is worth up to $56.5m.
Olpruva is a prescription medicine used along with certain therapies, such as changes in diet for the long-term management of adults and children of weight 44 pounds or more and with a BSA of 1.2 m² or greater, with UCDs.
It was approved in December last year in the US to treat certain UCDs.
Relief Therapeutics CEO Jack Weinstein said: “We are very happy to have re-structured our collaboration with Acer Therapeutics which includes provisions that we believe will benefit both parties, and ultimately those suffering from UCDs and other potential rare metabolic conditions.”
According to the terms of the new agreement, the US-based Acer Therapeutics will pay a non-contingent upfront cash payment of $10m to Relief Therapeutics. A further non-contingent cash payment of $1.5m will be paid on the deal’s one-year anniversary.
In addition, the Swiss biopharma firm will receive a cumulative 10% continuing royalty calculated on Olpruva’s net sales in Acer Therapeutics’ territory. It will also stand to earn 20% of any value received by the latter from licensing or divestment deals pertaining to Olpruva for a total of up to $45m.
Relief Therapeutics will continue to have the development and commercialisation rights for Olpruva in geographical Europe.
Furthermore, Acer Therapeutics will receive from Relief Therapeutics a variable, ongoing royalty up to a maximum of 10% of net sales of the drug and 20% of any value received by the Swiss firm from sublicensing agreements relating to Olpruva in geographical Europe.
Acer Therapeutics founder and CEO Chris Schelling said: “Relief Therapeutics remains an ideal partner for Olpruva in Europe and we are eager to continue the development and commercialisation of our innovative treatment option for those suffering from rare metabolic disorders like UCDs.”
