XOMA and Viracta Therapeutics Announce Multi-License Milestone and Royalty Monetization Transaction
San Diego – Paul Hastings LLP, a leading global law firm, represented Xoma Corporation, a biotechnology and pharmaceutical royalty aggregator, in its multi-license and milestone monetization transaction with Viracta Therapeutics.
Under the terms of the agreement, XOMA has acquired potential royalty economics related to two drug-development programs. The first candidate, DAY101 (pan-RAF kinase inhibitor), is being developed by Day One Biopharmaceuticals, which recently initiated a pivotal Phase 2 with DAY101 in pediatric low-grade glioma. The second candidate, vosaroxin (topoisomerase II inhibitor), is being developed by Denovo Biopharma as a potential treatment for acute myeloid leukemia. XOMA has acquired potential royalty economics related to DAY101 and up to $54 million in pre-commercialization, event-based milestones and high single-digit net royalties on sales related to vosaroxin and up to $57 million in regulatory and commercial milestone in exchange for an upfront payment of $13.5 million and up to $20 million in a pre-commercialization, event-based milestones.
The Paul Hastings team was led by M&A partner Deyan Spiridonov and included partners Andrew Tenzer and Todd Schneider as well as associates Ryan Enchelmayer, Tyler Dodge and Robert Hopkins.
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