Enanta Pharmaceuticals Announces Sale of a Portion of Global Royalties on MAVYRET® (U.S.)/MAVIRET® (ex-U.S.) (Glecaprevir/Pibrentasvir) to OMERS Life Sciences for $200 Million
April 25 2023 - 8:01AM
Business Wire
- Non-Dilutive and Strengthens Balance Sheet
- Competitive Process Results in the Sale of 54.5% of the
MAVYRET®/MAVIRET® Royalty Interest, Subject to a 1.42x Cap
- Sale Proceeds to Fund Continuing Clinical Development Across
Virology Pipeline
Enanta Pharmaceuticals, Inc. (NASDAQ: ENTA), a clinical-stage
biotechnology company dedicated to creating small molecule drugs
for viral infections, today announced the sale to OMERS, one of
Canada’s largest defined benefit pension plans, of 54.5% of
Enanta’s future royalty payments from AbbVie Inc. on worldwide
sales of MAVYRET®/MAVIRET®. The purchase price paid to Enanta was
$200 million. OMERS right to receive royalty payments is based on
net sales of the product beginning in July 2023 through June 2032,
with total payments capped at 1.42 times the purchase price. Enanta
retains 45.5% of all royalties until the cap is hit, at which point
100% of all further royalties revert to Enanta.
“We are pleased to partner with OMERS and its Life Sciences team
to secure additional non-dilutive funding, which not only provides
us with increased financial flexibility and retained economics, but
also demonstrates the continued value of MAVYRET®/MAVIRET® and its
significance for patients who continue to benefit from this
therapy,” said Jay R. Luly, Ph.D., President and Chief Executive
Officer of Enanta Pharmaceuticals. “As we execute on our programs,
these funds enable us to continue to advance our robust pipeline of
treatments for life-threatening viruses.”
“Enanta is a leader in small molecule drug discovery as
evidenced by the successful development and commercialization of
MAVYRET®/MAVIRET® in collaboration with AbbVie,” said Rob Missere,
Managing Director & Head of OMERS Life Sciences. “We are
pleased to invest in future sales of MAVYRET®/MAVIRET®, an
important cure for chronic hepatitis C virus infection. This deal
furthers our mandate to deliver an attractive source of long-term
returns for our more than 560,000 members.”
MAVYRET®/MAVIRET® is a fixed-dose combination of glecaprevir, an
NS3/4A protease inhibitor, and pibrentasvir, an NS5A inhibitor,
indicated for the treatment of chronic hepatitis C virus (HCV)
infection. Glecaprevir was discovered by Enanta under a
collaboration between AbbVie and Enanta to discover and develop
protease inhibitor treatments for chronic HCV infection.
MAVYRET®/MAVIRET® was launched globally beginning in 2017.
Advisors Foley Hoag LLP acted as legal advisor, and
Elmore Patent Law Group, PC acted as patent counsel, to Enanta
Pharmaceuticals, Inc. Davies Ward Phillips & Vineberg LLP acted
as legal advisor, and Ballard Spahr LLP acted as patent counsel, to
OMERS.
About Enanta Pharmaceuticals, Inc. Enanta is using
its robust, chemistry-driven approach and drug discovery
capabilities to become a leader in the discovery and development of
small molecule drugs for the treatment of viral infections.
Enanta’s research and development programs include clinical
candidates for the following disease targets: respiratory syncytial
virus (RSV), SARS-CoV-2 (COVID-19) and hepatitis B virus (HBV).
Enanta is also conducting research on a single agent targeting both
RSV and human metapneumovirus (hMPV).
Glecaprevir, a protease inhibitor discovered by Enanta, is part
of one of the leading treatment regimens for curing chronic HCV
infection and is sold by AbbVie in numerous countries under the
tradenames MAVYRET® (U.S.) and MAVIRET® (ex-U.S.)
(glecaprevir/pibrentasvir). Please visit www.enanta.com for more
information.
About OMERS Life Sciences and OMERS OMERS Life
Sciences provides royalty financings and other non-dilutive
solutions to biopharma companies and academic institutions,
supporting their efforts to address unmet medical needs and improve
the quality of life of patients around the world.
OMERS is a jointly sponsored, defined benefit pension plan, with
1,000 participating employers ranging from large cities to local
agencies, and over half a million active, deferred and retired
members. Its members include union and non-union employees of
municipalities, school boards, local boards, transit systems,
electrical utilities, emergency services and children’s aid
societies across Ontario. OMERS teams work in Toronto, London, New
York, Amsterdam, Luxembourg, Singapore, Sydney and other major
cities across North America and Europe – serving members and
employers, and originating and managing a diversified portfolio of
high-quality investments in public markets, private equity,
infrastructure and real estate.
Forward Looking Statements This press release
contains forward-looking statements, including statements with
respect to the prospects for MAVYRET®/MAVIRET®. Statements that are
not historical facts are based on management’s current
expectations, estimates, forecasts and projections about Enanta’s
business and the industry in which it operates and management’s
beliefs and assumptions. The statements contained in this release
are not guarantees of future performance and involve certain risks,
uncertainties and assumptions, which are difficult to predict.
Therefore, actual outcomes and results may differ materially from
what is expressed in such forward-looking statements. Important
factors and risks that may affect actual results include: the
impact of development, regulatory and marketing efforts of others
with respect to competitive treatments for HCV; the competitive
impact of development, regulatory and marketing efforts of others
in this disease area; any continuing impact of the COVID-19
pandemic on sales of MAVYRET®/MAVIRET®; the need to obtain and
maintain patent protection for MAVYRET®/MAVIRET®; and other risk
factors described or referred to in “Risk Factors” in Enanta’s Form
10-K for the fiscal year ended September 30, 2022, and any other
periodic reports filed more recently with the Securities and
Exchange Commission. Enanta cautions investors not to place undue
reliance on the forward-looking statements contained in this
release. These statements speak only as of the date of this
release, and Enanta undertakes no obligation to update or revise
these statements, except as may be required by law.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20230424005919/en/
Media and Investors Jennifer Viera 617-744-3848
jviera@enanta.com
Enanta Pharmaceuticals (NASDAQ:ENTA)
Historical Stock Chart
From Oct 2024 to Nov 2024
Enanta Pharmaceuticals (NASDAQ:ENTA)
Historical Stock Chart
From Nov 2023 to Nov 2024