RedHill Sells Talicia Rights for $10M Upfront

TL;DR

RedHill sold Talicia US rights to Montrose for $10M upfront + $30M milestones. Big cash infusion!

AI Summary

RedHill Biopharma Ltd. announced on May 6, 2024, that it has entered into a binding agreement to sell its U.S. commercialization rights for Talicia® to Montrose Pharmaceuticals, LLC. The deal includes an upfront payment of $10 million and potential milestone payments totaling up to $30 million, plus royalties. This transaction is expected to significantly strengthen RedHill's financial position.

Why It Matters

This sale provides RedHill Biopharma with crucial capital, allowing them to focus on their development pipeline and potentially avoid further dilution or financial distress.

Risk Assessment

Risk Level: medium — While the sale provides capital, the company's future success still depends on the performance of its remaining pipeline and the terms of future financing.

Key Numbers

• $10.0M — Upfront Payment (Received from Montrose Pharmaceuticals for Talicia U.S. rights.)
• $30.0M — Potential Milestones (Additional payments contingent on future performance of Talicia.)

Key Players & Entities

• RedHill Biopharma Ltd. (company) — Seller of U.S. commercialization rights
• Montrose Pharmaceuticals, LLC (company) — Buyer of U.S. commercialization rights
• Talicia® (product) — Drug whose U.S. commercialization rights were sold
• $10 million (dollar_amount) — Upfront payment from Montrose
• $30 million (dollar_amount) — Potential milestone payments
• May 6, 2024 (date) — Date of announcement

FAQ

Filing Documents

• zk2431400.htm (6-K) — 39KB
• image00001.jpg (GRAPHIC) — 308KB
• 0001178913-24-001576.txt ( ) — 465KB

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. REDHILL BIOPHARMA LTD. (the "Registrant") Date: May 6, 2024 By: /s/ Dror Ben-Asher Name: Dror Ben-Asher Title: Chief Executive Officer Press Release RedHill Announces New Opaganib Chinese Patent Against Ebola Virus Valid Through 2035 The new Chinese patent for opaganib as a therapy for inhibition of single-stranded RNA virus replication (notably Ebola Disease Virus) is valid through 2035 and adds to opaganib's strong global intellectual property portfolio across multiple indications -- U.S. Army studies suggest that opaganib may be the first host-directed molecule to show activity in vivo in Ebola virus disease, delivering a statistically significant increase in survival; separately, opaganib demonstrated robust synergistic effect in vitro when combined with remdesivir (Veklury; Gilead Sciences, Inc.), improving viral inhibition while maintaining cell viability -- A host-directed and potentially broad acting twice-daily oral, small molecule, opaganib is in development for multiple indications, including COVID-19, acute respiratory distress syndrome, oncology and two U.S. government-sponsored countermeasures programs for Acute Radiation Syndrome and Sulfur Mustard exposure. It has a demonstrated safety and efficacy profile, and is well-suited to counter nuclear / chemical exposure and viral pandemic scenarios, being viral mutation-resistant, and easy to administer and distribute TEL-AVIV, Israel / RALEIGH, NC, May 6, 2024 /PRNewswire/, -- RedHill Biopharma Ltd. (Nasdaq: RDHL) ("RedHill" or the "Company"), a specialty biopharmaceutical company, today announced the issue of a new Chinese patent Notice of Allowance covering opaganib 1 as a therapy for inhibition of single-stranded RNA virus replication (notably Ebola Disease Virus) fr

Forward Looking Statements

Forward Looking Statements This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and may discuss investment opportunities, stock analysis, financial performance, investor relations, and market trends. Such statements, including, but not limited to, statements regarding the intended use of net proceeds from the offering, may be preceded by the words "intends," "may," "will," "plans," "expects," "anticipates," "projects," "predicts," "estimates," "aims," "believes," "hopes," "potential" or similar words and include statements regarding the risk that the Company will not comply with the listing requirements of the Nasdaq Capital Market ("Nasdaq") to remain listed for trading on Nasdaq, the addition of new revenue generating products, out-licensing of the Company's development pipeline assets, timing of opaganib's development for Acute Radiation Syndrome, non-dilutive development funding from RHB-107 and its inclusion in a key platform study. Forward-looking statements are based on certain assumptions and are subject to various known and unknown risks and uncertainties, many of which are beyond the Company's control and cannot be predicted or quantified, and consequently, actual results may differ materially from those expressed or implied by such forward-looking statements. Such risks and uncertainties include, without limitation, market and other conditions, the risk that the addition of new revenue generating products or out-licensing transactions will not occur; the risk that acceptance onto the RNCP Product Development Pipeline will not guarantee ongoing development or that any such development will not be completed or successful; the risk that the FDA does not agree with the Company's proposed development plans for opaganib for any indication, the risk that observations from preclinical studies are not indicative or predictive of results in clinical trials; the risk that the FDA pre-stu

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