Royalty Pharma plc (NASDAQ: RPRX) today announced that it has acquired an interest in Agios Pharmaceuticals’ royalty on Servier’s vorasidenib for $905 million in upfront cash contingent on U.S. Food and Drug Administration (FDA) approval of vorasidenib.
“We are excited to acquire royalties on vorasidenib, which if approved, would be the first targeted therapy for patients with IDH-mutant glioma,” said Royalty CEO Pablo Legorreta. “Innovation has been lacking in glioma treatment for over two decades, and we believe vorasidenib, which demonstrated unprecedented efficacy with a well-tolerated safety profile in its pivotal clinical study, is a potentially transformative therapy. We look forward to its upcoming PDUFA date and are excited for IDH-mutant diffuse glioma patients to potentially have a new treatment option.”
Vorasidenib is an oral, selective, highly brain-penetrant dual inhibitor of mutant isocitrate dehydrogenase 1 and 2 (IDH1/2) enzymes for the treatment of IDH-mutant diffuse glioma. Low grade IDH-mutant diffuse gliomas have an incidence of approximately 1,500 patients per year and a prevalence of approximately 10,000 in the U.S. according to Royalty Pharma estimates.
Royalty Pharma will pay Agios $905 million in upfront cash on FDA approval of vorasidenib in exchange for a 15% royalty on annual U.S. net sales of vorasidenib up to $1 billion and a 12% royalty on annual U.S. net sales greater than $1 billion. Agios will retain a 3% royalty on annual U.S. net sales greater than $1 billion.
RPRX shares handed over nine cents to $26.53.
