DURECT Corp. (DRRX:NASDAQ) announced in a news release it entered an agreement regarding its SABER technology with Gilead Sciences. SABER provides sustained release for long-acting injectable products.
DURECT grants Gilead the exclusive global rights to use SABER in developing and commercializing a long-acting, injectable human immunodeficiency virus (HIV) product. DURECT also affords Gilead access to the SABER platform for HIV and the hepatitis B virus (HBV) and the exclusive option to license additional SABER-based products targeting those indications.
"We've been working together on this program as a feasibility project, and are now delighted that Gilead has chosen to advance this effort into a formal development program," DURECT President and CEO James E. Brown said in the release.
In exchange, Gilead will pay DURECT $25 million upfront, along with potentially up to an additional $75 million in development and regulatory milestones and up to an another $70 million in sales-based milestones and tiered royalties on product sales. For exclusive licensing of other SABER-based products aimed at HIV and HBV, Gilead would pay $150 apiece in upfront, development, regulatory and sales-based milestones as well as tiered royalties on sales.
"The parties will collaborate on specified development activities with Gilead controlling and funding the development programs," the release noted.
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