Pharming enters $30M HAE drug accord

Leiden, the Netherlands-based biotechology group Pharming NV has signed a strategic partnering agreement with affiliates of Paul Royalty Fund II valued at $30.0 million on its recombinant human C1 inhibitor (rhC1INH) for the treatment of hereditary angioedema.

Under the terms of the agreement, Pharming has received an upfront payment of $18.5 million, which consists of $15.0 million for its development work on rhC1INH to date and the continued development and commercialization of rhC1INH products, as well as a $3.5 million equity investment. Recently, the company received a $1.5 million investment on signing of the term sheet.

The Dutch group is also eligible to receive up to $10.0 million in milestone payments based on the achievement of Food and Drug Administration approval and launch of rhC1INH in the USA. In return, Paul Royalty Fund is entitled to receive single-digit royalties on revenues of rhC1INH and other Pharming products over the 10-year accord.