Royalty Pharma has carved a distinctive niche in the pharmaceutical landscape, specializing in identifying innovative products both pre- and post-approval, providing companies with much-needed capital in exchange for future royalties.
Switzerland’s Ferring Pharmaceuticals aligns perfectly with this model, having secured FDA approval for two novel treatments in the closing weeks of 2022 and now gearing up for their market introduction.
A strategic agreement has been reached between Royalty Pharma and Ferring, wherein Royalty will receive royalties from the FDA-approved bladder cancer drug, Adstiladrin (nadofaragene firadenovec-vncg). The terms entail an upfront payment of $300 million, supplemented by a potential $200 million milestone payment contingent upon Ferring achieving specific manufacturing goals by 2025.
“This major investment by Royalty Pharma, the largest buyer of biopharmaceutical royalties and a leading funder of innovation, is yet another demonstration of the value and confidence in our gene therapy Adstiladrin to address significant unmet medical needs for patients. It also highlights its significant potential as a key growth driver for Ferring, and our commitment to Uro-Oncology.”
– Jean-Frédéric Paulsen, Executive Chairman of Ferring Pharmaceuticals.
Royalty Pharma will be entitled to 5.1% of Adstiladrin’s net sales in the U.S., with the royalty escalating to 8% upon milestone payment. The arrangement ensures consistent royalty payments until the early-to-mid 2030s, as outlined by both companies.
This infusion of investment will provide essential support for Ferring’s initiatives, encompassing the expansion of manufacturing capabilities, commercialization efforts, and further clinical advancement of Adstiladrin.
Ferring is poised to initiate an early experience program next month, making Adstiladrin available for the treatment of high-risk adult patients with Bacillus Calmette-Guerin (BCG)-unresponsive non-muscle invasive bladder cancer (NMIBC) characterized by carcinoma in situ (CIS).
“After several decades of little progress in the field, Adstiladrin brings a major innovation to patients with high-risk NMIBC who no longer respond to current first-line treatment and have few other good options. Our ambition is for Adstiladrin to become the new standard of care and the backbone therapy for these patients and to drive research in other urothelial cancers. This agreement positions us well for continued significant and sustained investment to further advance Adstiladrin as the foundation of our leadership drive in Uro-Oncology.”
– Bipin Dalmia, Global Head, Uro-Oncology Franchise of Ferring Pharmaceuticals.
In a significant achievement in late November, Ferring secured FDA endorsement for Rebyota, a treatment targeting Clostridium difficile.
Just two weeks subsequent, Adstiladrin received FDA approval. Administered into the bladder every three months via a urinary catheter, this gene therapy demonstrated exceptional efficacy in clinical trials, resulting in complete responses in over 50% of recipients. Adstiladrin represents a vital therapeutic option for individuals with BCG-unresponsive NMIBC, a group that traditionally resorts to bladder removal surgery.
“We are delighted to partner with Ferring, a research-driven, global specialty biopharmaceutical company. This investment is consistent with our strategy of acquiring royalties on innovative therapies in areas of high unmet patient need. Adstiladrin is the first gene therapy in our diversified royalty portfolio. We believe it has blockbuster potential and we are pleased to provide funding to support the launch of Adstiladrin and help Ferring reach as many patients as possible with this important therapy in the United States.”
– Pablo Legorreta, founder and Chief Executive Officer of Royalty Pharma
This collaboration between Royalty Pharma and Ferring underlines the continued innovation in pharmaceutical financing and the potential to advance treatments that address critical medical needs.
