Repligen gets first milestone under SMA deal with Pfizer

USA-based Repligen (Nasdaq: RGEN) says it has received a $1 million milestone payment from global drugs behemoth Pfizer (NYSE: PFE) under the terms of the companies' exclusive worldwide licensing agreement for the development of compounds to treat spinal muscular atrophy (SMA; The Pharma Letter January 4).

This first milestone payment was triggered by completion of specific program activities and coincides with the successful completion of all transition obligations by Repligen. Under the terms of the deal Repligen received an upfront of $5 million and remains eligible to for up to $64 million in additional success-based milestone payments, as well as royalties on any future sales of compounds developed under the agreement.

"Consistent with our strategic decision last August to focus on building Repligen's bioprocessing business while scaling back our investment in therapeutics, we out-licensed the SMA program and have successfully completed its transition to Pfizer," said Walter Herlihy, president and chief executive of Repligen. "We believe the agreement preserves the potential for the SMA program to deliver significant long-term upside for our shareholders," he added.