Vertex Expands CF Foundation Therapeutics PartnershipBy
Vertex Pharmaceuticals has expanded its long-term research and development collaboration with Cystic Fibrosis Foundation Therapeutics (CFFT), the nonprofit drug discovery and development affiliate of the Cystic Fibrosis Foundation (CFF), under which CFFT will pay Vertex an upfront payment of $75 million and up to $6 million annually in development funding. Under the amended agreement, Vertex has agreed to pay royalties ranging from low-single digits to mid-single digits on certain compounds first synthesized and/or tested between March 1, 2014 and August 31, 2016.
Vertex will continue to pay royalties ranging from single digits to subteens on any approved drugs first synthesized and/or tested on or before February 28, 2014. The parties also clarified that net sales on combination products will be allocated equally to each of the active pharmaceutical ingredients in the combination product consistent with the allocation of net sales for Orkambi (lumacaftor/ivacaftor), Vertex’s cystic fibrosis drug that was approved by the US Food and Drug Administration in July 2015. The parties also provided further clarification with respect to the calculation of royalties on products covered by the collaboration agreement.
Independently, Vertex has entered into a data license agreement with the CFF under which Vertex will pay for continuing access to data from the CFF’s patient registry.
Source: Vertex Pharmaceuticals