Gilead Exercises First License Option Under Agreement With Nurix Therapeutics

  • Gilead Sciences Inc GILD has exercised its option to license Nurix Therapeutics Inc's NRIX investigational targeted protein degrader molecule NX-0479 exclusively. 
  • This bivalent degrader, GS-6791, is the first development candidate from the previously announced Nurix-Gilead collaboration.
  • GS-6791 is a potent, selective, oral IRAK4 degrader with potential applications in rheumatoid arthritis (RA) and other inflammatory diseases.
  • Under the terms of the Collaboration, Nurix will receive an option exercise payment of $20 million and potentially up to an additional $425 million in milestone payments, as well as up to low double-digit tiered royalties on product net sales.
  • In June 2019, Gilead and Nurix entered a global strategic collaboration to discover, develop and commercialize a pipeline of up to five innovative targeted protein degradation therapies for patients with cancer and other challenging diseases. 
  • Under the terms of the agreement, Nurix received an upfront payment of $45 million and is eligible to receive up to approximately $2.3 billion in total additional milestone payments. 
  • Nurix will retain the option to co-develop and co-detail up to two programs in the U.S.
  • For those programs, Nurix opts in to co-develop and co-detail, the parties will split development costs, profits, and losses 50/50 for the United States. Nurix will be eligible to receive royalties on ex-U.S. sales and reduced milestone payments. 
  • Gilead has the right to veto up to one co-development option, which will revert back to Nurix for use on potential future licensed products.
  • Price Action: GILD shares are up 2.35% at $79.13 on the last check Monday.

Posted In: BiotechLarge CapNewsHealth CareContractsSmall CapMoversTrading IdeasGeneralBriefs