On December 20, 2022 Atara Biotherapeutics, Inc. (Nasdaq: ATRA), a leader in T-cell immunotherapy, leveraging its novel allogeneic Epstein-Barr virus (EBV) T-cell platform to develop transformative therapies for patients with cancer and autoimmune diseases, reported that it has entered into a royalty interest financing agreement totaling $31 million with HealthCare Royalty (HCRx) for Ebvallo in Europe and other territories covered by Atara’s commercialization agreement with Pierre Fabre (Press release, Atara Biotherapeutics, DEC 20, 2022, View Source [SID1234625456]).
Schedule your 30 min Free 1stOncology Demo!
Discover why more than 1,500 members use 1stOncology™ to excel in:
Early/Late Stage Pipeline Development - Target Scouting - Clinical Biomarkers - Indication Selection & Expansion - BD&L Contacts - Conference Reports - Combinatorial Drug Settings - Companion Diagnostics - Drug Repositioning - First-in-class Analysis - Competitive Analysis - Deals & Licensing
Schedule Your 30 min Free Demo!
"This strategic deal with HCRx, a top-tier investment firm, contributes to Atara’s financial position and reflects our positive momentum following the recent European Commission approval of Ebvallo as the only approved therapy for EU patients with a rare and potentially deadly cancer," said Pascal Touchon, President and Chief Executive Officer of Atara. "We share HCRx’s confidence in Ebvallo and a vision of bringing a first ever allogeneic T-cell therapy to market in collaboration with our European commercialization partner Pierre Fabre."
Under the terms of the agreement, Atara will receive a $31 million upfront payment from HCRx. In exchange, HCRx will receive rights to specified royalties and milestones under the Pierre Fabre commercialization agreement for Europe and other territories. The total royalties and milestones payable to HCRx are capped between 185 percent and 250 percent of the total investment amount by HCRx, dependent upon the timing of such royalties and milestones.
Additionally, Atara retains existing milestone payments from Pierre Fabre of $10 million for Ebvallo approval in Europe and $30 million for Atara’s initiation of the EU Marketing Authorization Application transfer to Pierre Fabre from the previously announced commercialization agreement and subsequent update announced in September 2022.
"We are proud to support Atara and have strong confidence in their mission of helping transform the lives of cancer and autoimmune patients through pioneering innovative science, proven by rigorous data," said Clarke Futch, Chairman and Chief Executive Officer of HCRx. "Atara is a differentiated allogeneic T-cell immunotherapy company, and we are pleased to support their efforts at this pivotal moment for tabelecleucel development."