Galapagos will receive an upfront payment of €670M from California’s Gilead, consisting of a license fee of €277M and a €393M equity investment in Galapagos. In addition, Galapagos is eligible for payments up to €1.25Bn in milestones, with tiered royalties starting at 20% and a profit split in co-promotion territories.
Holy carp. That’s a big deal…
So at the end of September, as many of you probably remember, there was an uproar on the NASDAQ after AbbVie unexpectedly pulled out of the partnership with Galapagos to push their own JAK-1 Inhibitor for inflammatory chronic diseases such as Rheumatoid Arthritis and Crohn’s disease.
Following strong phase II results for treatment of up to 900 patients with rheumatoid arthritis, filgotinib stirred an initial rush from pharma giants AbbVie and Johnson&Johnson,