Acorda monetizes Fampyra royalties for $53 million

Acorda Therapeutics (Nasdaq: ACOR), which last week suffered a significant setback with its  Phase III program of Parkinson’s disease drug tozadenant, on Friday announced a $40 million royalty monetization with HealthCare Royalty Partners (HCR) and a $13 million royalty monetization with Denmark’s Lundbeck (LUN: C).

In return for the payment to Acorda, HCR obtains the right to receive royalty revenue on Fampyra (prolonged-release fampridine tablets) payable by Biogen, up to an agreed upon threshold of royalties. After this threshold is met, if ever, Acorda will continue to receive Fampyra royalty revenue until this revenue stream ends. The transaction does not include potential future milestones to be paid by Biogen (Nasdaq: BIIB).

Lundbeck and Acorda have amended the license agreement for Selincro (nalmefene) to eliminate future royalty and milestone obligations on sales of Selincro outside of the USA.