MacroGenics sells royalty interest in Tzield for up to $200 million

9 March 2023

Shares of MacroGenics (Nasdaq: MGNX) were up 10.9% at $6.10 in early trading today, after the biopharmaceutical company revealed that it has entered into an agreement to sell its royalty interest on future global net sales of Tzield (teplizumab-mzwv) to a wholly-owned subsidiary of DRI Healthcare Trust for up to $200 million.

MacroGenics retains its other economic interests related to Tzield, including future potential regulatory and commercial milestones.

In 2018, MacroGenics out-licensed teplizumab to Provention Bio (Nasdaq: PRVB) – which recently gained US approval for in at-risktype 1 diabetes (T1D). Under the license agreement, MacroGenics was due a $60 million payment on US Food and Drug Administration approval (payment expected by first-quarter 2023) as well as single-digit royalties and subsequent milestone payments.

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