On December 20, 2022 POINT Biopharma Global Inc. ("POINT") (NASDAQ: PNT), a company accelerating the discovery, development, and global access to life-changing radiopharmaceuticals, reported that the closing conditions, including Hart-Scott-Rodino antitrust clearance, have been met for the previously announced agreements with Lantheus Holdings Inc. (NASDAQ: LNTH) (Press release, Point Biopharma, DEC 20, 2022, View Source [SID1234625457]).
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Under the terms of the agreements, POINT will receive the initial $260 million in upfront payments from Lantheus in the upcoming week. The agreements also include the potential for several future payments to POINT. For PNT2002, these include:
– an additional payment up to $250 million upon U.S. FDA regulatory approval
– royalties of 20% on all net sales once certain financial thresholds have been achieved
– profit from the manufacturing and supply of commercial drug product to Lantheus
– up to an additional $1.3 billion in various net sales milestone payments
For PNT2003, these include:
– up to an additional $30 million upon U.S. FDA regulatory approval
– royalties of 15% on net sales
– profit from the manufacturing and supply of commercial drug product to Lantheus
– up to an additional $275 million in various net sales milestone payments
Proceeds from this transaction will be used to accelerate the expansion of POINT’s next-generation radioligand platform. POINT will make a number of key investments in 2023, including the commercial scale up of its production facility, completion of the SPLASH trial, expansion of POINT’s R&D infrastructure, and acceleration of pipeline development. By the end of 2023, POINT expects to have two next-generation programs in the clinic including the pan-cancer PNT2004, which is currently in Phase 1, and the actinium-225 labeled PNT2001, expected to enter Phase 1 in late 2023, along with multiple new chemical entities advancing through discovery and preclinical validation. POINT expects that its cash, cash equivalents, and short-term investments, combined with the upfront payments, will fund its current operating plan into 2026.
Additional information regarding the POINT & Lantheus’ strategic collaboration and exclusive license agreements can also be found at POINT’s investor relations website, located at pointbiopharma.com/investors.