Corcept sells capped royalty on future sales for $30 million

US drug developer Corcept Therapeutics (Nasdaq: CORT) announced that it has sold to an investment fund managed by Pharmakon Advisors a synthetic capped royalty on future product sales for $30 million. Corcept's payments under the agreement will be limited solely to a percentage of its revenue, subject to quarterly caps, and will total $45 million.

Corcept also announced that it has terminated its Committed Equity Financing Facility (CEFF) with Kingsbridge Capital. Under the terms of the CEFF, Kingsbridge had agreed to provide at Corcept's option up to $60 million of capital in exchange for newly issued shares of the company's common stock. Corcept had raised $2.6 million under the CEFF.

Pursuant to the royalty transaction between Corcept and BioPharma Secured Debt Fund II Sub, Sarl, an investment fund managed by Pharmakon Advisors, BioPharma Secured Debt Fund II will receive quarterly royalties, starting with the quarter ending June 30, 2013.