LAVAL, QC- BELLUS Health Inc. reports it has entered into a share purchase agreement with Taro Pharmaceuticals Inc. (Taro) for the sale of its wholly-owned subsidiary Thallion Pharmaceuticals Inc. as well as the rights to the drug candidate Shigamab™.
According to Bellus, the asset, Shigamab™, is a monoclonal antibody therapy being developed for the treatment of Hemolytic Uremic Syndrome caused by Shiga toxin-producing E. coli (STEC) (sHUS), a rare disease which principally affects the kidneys and often leads to acute dialysis, and in certain cases chronic kidney disease and death, primarily in children.
Pursuant to the sale, Taro is acquiring all issued and outstanding shares of Thallion for a potential total consideration of CA$2.7 million, consisting of an upfront payment of CA$2.3 million and a potential future payment of CA$0.4 million contingent upon the completion of a pre-established milestone event, expected to occur within 24 months of the closing of the transaction. Additionally, BELLUS Health will receive a portion of certain post-approval revenues related to the Shigamab™ program.
“This transaction supports the further development of Shigamab™ and allows us to focus our efforts on the rest of our pipeline including the recently in-licensed BLU-5937, a drug candidate for chronic cough,” said Roberto Bellini, president and CEO of BELLUS Health. “The upfront proceeds from this transaction also meaningfully extend our cash runway to Q4 2018.”