Reata Pharmaceuticals Shares Up 8% on Re-Acquiring Bardoxolone Rights

Date : 10/10/2019 @ 4:41PM
Source : Dow Jones News
Stock : Reata Pharmaceuticals Inc (RETA)
Quote : 211.22  -1.67 (-0.78%) @ 4:38PM

Reata Pharmaceuticals Shares Up 8% on Re-Acquiring Bardoxolone Rights

Reata Pharmaceuticals (NASDAQ:RETA)
Historical Stock Chart

2 Months : From Sep 2019 to Nov 2019

Click Here for more Reata Pharmaceuticals Charts.

By Chris Wack

 

Shares of Reata Pharmaceuticals Inc. (RETA) rose 8% to $82.35 after the company said it re-acquired development, manufacturing and commercialization rights concerning its proprietary Nrf2 activator product platform originally licensed to AbbVie Inc. (ABBV) for territories outside of the U.S. with respect to bardoxolone methyl and world-wide with respect to omaveloxolone and other next-generation Nrf2 activators.

Shares of Reata closed down 5% Wednesday.

The Texas-based biopharmaceutical company said it now possesses exclusive, world-wide rights to develop, manufacture and commercialize bardoxolone methyl, omaveloxolone, and all other next-generation Nrf2 activators, excluding certain Asian markets for bardoxolone, which are licensed to Kyowa Kirin Co. Ltd.

Reata said AbbVie will receive $330 million in cash, primarily for rights to bardoxolone. Reata will make an upfront payment of $75 million in 2019, with the remainder payable in installments in the second quarter of 2020 and in the fourth quarter of 2021. In addition, AbbVie will receive low-single-digit, tiered royalties from world-wide sales of omaveloxolone and certain next-generation Nrf2 activators, and no royalties on bardoxolone.

Reata also said it has entered into an amendment to its loan and security agreement with Oxford Finance LLC and Silicon Valley Bank. The amended agreement makes $75 million available to Reata upon positive, topline, registrational data from either the Cardinal study of bardoxolone methyl in patients with Alport syndrome or the MOXIe study of omaveloxolone in patients with Friedreich's ataxia. The term loan facility increased by $30 million to $155 million.

 

Write to Chris Wack at chris.wack@wsj.com

 

(END) Dow Jones Newswires

October 10, 2019 12:26 ET (16:26 GMT)

Copyright (c) 2019 Dow Jones & Company, Inc.

Latest RETA Messages

{{bbMessage.M_Alias}} {{bbMessage.MSG_Date}} {{bbMessage.HowLongAgo}} {{bbMessage.MSG_ID}} {{bbMessage.MSG_Subject}}

Loading Messages....


No posts yet, be the first! No {{symbol}} Message Board. Create One! See More Posts on {{symbol}} Message Board See More Message Board Posts


Your Recent History
LSE
GKP
Gulf Keyst..
LSE
QPP
Quindell
FTSE
UKX
FTSE 100
LSE
IOF
Iofina
FX
GBPUSD
UK Sterlin..
Stocks you've viewed will appear in this box, letting you easily return to quotes you've seen previously.

Register now to create your own custom streaming stock watchlist.


NYSE, AMEX, and ASX quotes are delayed by at least 20 minutes.
All other quotes are delayed by at least 15 minutes unless otherwise stated.