Summit Therapeutics plc Summit Therapeutics Announces Revenue Sharing Agreement With Wellcome Trust
November 06 2017 - 6:00AM
UK Regulatory
TIDMSUMM
Summit Therapeutics plc
("Summit" or the "Company")
SUMMIT ANNOUNCES SIGNING OF REVENUE SHARING AGREEMENT WITH THE WELLCOME
TRUST FOR CDI ANTIBIOTIC RIDINILAZOLE
-- Entering revenue share in accordance with terms of prior Wellcome Trust
funding award agreement
Oxford, UK, 6 November 2017- Summit Therapeutics plc (NASDAQ: SMMT, AIM:
SUMM) the drug discovery and development company advancing therapies for
Duchenne muscular dystrophy and Clostridium difficile infection ('CDI'),
announces it has entered into an equity and revenue sharing agreement
(the 'Revenue Share Agreement') with the Wellcome Trust, covering
potential future revenues generated by ridinilazole, its highly
selective, novel-class antibiotic for the treatment of CDI.
The Revenue Share Agreement is a follow-on to the October 2012
Translational Award Funding Agreement with the Wellcome Trust ('TA
Agreement'), which provided funding for the now concluded Phase 1 and
Phase 2 clinical trials for ridinilazole. The commercial terms in the
Revenue Share Agreement summarised below replace those detailed in the
TA Agreement. Ridinilazole is currently being prepared to enter Phase 3
clinical trials in the first half of 2018.
"The Wellcome Trust has played a crucial role in supporting the
development of our CDI programme, having provided funding to advance
ridinilazole from the early stages of discovery through to generating
clinical proof of concept in patients with CDI," commented Dr David
Roblin, Chief Operating Officer and Medical Officer at Summit. "We
believe ridinilazole is a precision antibiotic that has the potential to
become a front-line therapy for CDI and to deliver real patient benefit.
We look forward to commencing our Phase 3 clinical programme in the
first half of 2018."
Under the Revenue Share Agreement, the Wellcome Trust is eligible to
receive the following payments if commercialisation of ridinilazole is
undertaken by a third-party:
-- A mid-single digit percentage share of net revenues received by Summit
from sales by the third party.
-- A one-time first commercial sale milestone payment of a low single digit
percentage of any cumulative pre-commercial payments received by Summit
from third party licensees (excluding development funding or grant
funding received from the US Government Agency, BARDA, or other third
parties, including licensees).
-- A one-time milestone payment of a specified amount if cumulative net
revenues exceed a specified amount.
If Summit undertakes the commercialisation of ridinilazole, Wellcome
Trust is eligible to receive:
-- A low-single digit percentage share of net revenues.
-- A one-time milestone payment of a specified amount if cumulative net
revenues exceed a specified amount.
In addition, under the Revenue Share Agreement, the Wellcome Trust
agreed to terminate all of its rights under the TA Agreement to develop
or commercialise ridinilazole or the associated intellectual property in
the event that Summit was not developing or commercialising
ridinilazole.
Separately, the TA Agreement has been novated from Summit Therapeutics
plc to its wholly owned subsidiary company, Summit (Oxford) Limited.
The Revenue Sharing Agreement will, unless earlier terminated, expire
upon the later of: the expiration of the last patent or patent
application covering ridinilazole; the expiration of any agreement or
payment obligations entered into by the Company with a third party
relating to the commercialisation of ridinilazole; and the expiration of
any payment obligations owed to the Wellcome Trust relating to the
commercialisation of ridinilazole.
A Form 6-K has been filed with the US Securities and Exchange Commission
('SEC') that contains additional information about the terms of the
Revenue Share Agreement with the Wellcome Trust. A copy of this Form 6-K
is available to download either from the Investors section of the
Company website at www.summitplc.com or from the SEC website at
www.sec.gov.
About Summit Therapeutics
Summit is a biopharmaceutical company focused on the discovery,
development and commercialisation of novel medicines for indications for
which there are no existing or only inadequate therapies. Summit is
conducting clinical programmes focused on the genetic disease Duchenne
muscular dystrophy and the infectious disease C. difficile infection.
Further information is available at www.summitplc.com and Summit can be
followed on Twitter (@summitplc).
Contacts
Summit
Glyn Edwards / Richard Pye (UK office) Tel: +44 (0)1235 443 951
Erik Ostrowski / Michelle Avery (US office) +1 617 225 4455
Cairn Financial Advisers LLP
(Nominated Adviser) Tel: +44 (0)20 7213 0880
Liam Murray / Tony Rawlinson
N+1 Singer
(Broker) Tel: +44 (0)20 7496 3000
Aubrey Powell / Jen Boorer
MacDougall Biomedical Communications
(US media contact) Tel: +1 781 235 3060
Karen Sharma ksharma@macbiocom.com
Consilium Strategic Communications
(Financial public relations, UK) Tel: +44 (0)20 3709 5700
Mary-Jane Elliott / Jessica Hodgson / summit@consilium-comms.com
Philippa Gardner / Rosie Philips
Summit Forward-looking Statements
Any statements in this press release about the Company's future
expectations, plans and prospects, including but not limited to,
statements about the future operation of the Revenue Sharing Agreement,
including any potential future payments thereunder, clinical and
preclinical development of the Company's product candidates , the
therapeutic potential of the Company's product candidates, the
sufficiency of the Company's cash resources, the timing of initiation,
completion and availability of data from clinical trials, the potential
submission of applications for marketing approvals and other statements
containing the words "anticipate," "believe," "continue," "could,"
"estimate," "expect," "intend," "may," "plan," "potential," "predict,"
"project," "should," "target," "would," and similar expressions,
constitute forward-looking statements within the meaning of The Private
Securities Litigation Reform Act of 1995. Actual results may differ
materially from those indicated by such forward-looking statements as a
result of various important factors, including: the uncertainties
inherent in the initiation of future clinical trials, availability and
timing of data from ongoing and future clinical trials and the results
of such trials, whether preliminary results from a clinical trial will
be predictive of the final results of that trial or whether results of
early clinical trials or preclinical studies will be indicative of the
results of later clinical trials, expectations for regulatory approvals,
laws and regulations affecting government contracts, availability of
funding sufficient for the Company's foreseeable and unforeseeable
operating expenses and capital expenditure requirements and other
factors discussed in the "Risk Factors" section of filings that the
Company makes with the Securities and Exchange Commission, including the
Company's Annual Report on Form 20-F for the fiscal year ended 31
January 2017. Accordingly, readers should not place undue reliance on
forward-looking statements or information. In addition, any
forward-looking statements included in this press release represent the
Company's views only as of the date of this release and should not be
relied upon as representing the Company's views as of any subsequent
date. The Company specifically disclaims any obligation to update any
forward-looking statements included in this press release.
-END-
This announcement is distributed by Nasdaq Corporate Solutions on behalf
of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely
responsible for the content, accuracy and originality of the information
contained therein.
Source: Summit Therapeutics plc via Globenewswire
http://www.summitplc.com/
(END) Dow Jones Newswires
November 06, 2017 07:00 ET (12:00 GMT)
Copyright (c) 2017 Dow Jones & Company, Inc.
Summit Therapeutics (LSE:SUMM)
Historical Stock Chart
From Apr 2024 to May 2024
Summit Therapeutics (LSE:SUMM)
Historical Stock Chart
From May 2023 to May 2024