Curis sells portion of Erivedge royalties to Oberland Capital for up to $135.7M
Curis announced that it has entered into an agreement with funds managed by Oberland Capital Management, for up to $135.7M in exchange for selling rights to a portion of royalty revenues on worldwide net sales of Erivedge. Under the terms of the agreement, Curis received $65M in an upfront cash payment, plus Curis is entitled to receive up to an additional $70.7M in milestone payments if future net royalties exceed pre-defined annual and cumulative thresholds. Oberland Capital will receive 100% of the first $13.2M and 35% thereafter of annual net royalties due to Curis from worldwide net sales of Erivedge, excluding a portion of non-US royalties retained by Curis. At the closing of the transaction, Curis used a portion of the sale proceeds to retire existing debt, with remaining proceeds of approximately $30M, excluding closing costs and related transaction fees, to be used to fund its operations.