XOMA Royalty Reports Fourth Quarter and Full Year 2024 Financial Results and Highlights Business Achievements
Doubled the royalty and milestone portfolio to over 120 royalty assets with significant milestone potential through five transactions in 2024
Completed two whole company acquisitions to unlock shareholder value
Day One's OJEMDA$(TM)$ (tovorafenib) and Zevra's MIPLYFFA(TM) (arimoclomol) each received FDA approval
Cash receipts totaled $4.0 million in the fourth quarter and $46.3 million for the full year 2024
EMERYVILLE, Calif., March 17, 2025 (GLOBE NEWSWIRE) -- XOMA Royalty Corporation $(XOMA)$, the biotech royalty aggregator, reported its fourth quarter and full year 2024 financial results and highlighted recent activities.
"Our balanced approach to building the scale of XOMA Royalty's portfolio by selectively acquiring royalty economics across the lifecycle of drug development is beginning to bear fruit," stated Owen Hughes, Chief Executive Officer of XOMA Royalty. "Our growing commercial royalty portfolio of six assets is supported by VABYSMO$(R)$ (faricimab), OJEMDA(TM), and MIPLYFFA(TM), while our Phase 3 portfolio, which now totals 11 assets, promises several key readouts in 2025, including ersodetug from Rezolute, seralutinib from Gossamer Bio, and Ovaprene(R) (non-hormonal vaginal ring) from Daré Biosciences. With over $100 million in cash on hand and a clear path to sustainable cashflow from royalties alone, we are well-positioned to further our goal of driving value for patients and shareholders alike."
Royalty and Milestone Acquisitions
Partner Asset and Transaction Detail
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Twist Bioscience XOMA Royalty completed a $15 million royalty
monetization agreement with Twist, acquiring 50% of the
future milestones and royalties in 60-plus partnered
early-stage programs across 30 companies enabled by
Twist Bioscience's Biopharma Solutions business unit.
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Daré Bioscience XOMA Royalty added economic interests to three best- or
first-in-category assets to its portfolio for a $22
million upfront payment. XACIATO(TM) vaginal gel 2% is
commercially available and marketed by Organon. Bayer
holds the U.S. rights to commercialize Ovaprene(R) , a
hormone-free monthly intravaginal contraceptive,
currently in Phase 3 clinical trials. XOMA Royalty also
acquired a synthetic royalty in Sildenafil Cream, 3.6%,
a Phase 3-ready asset for female sexual arousal
disorder.
Talphera, Inc. XOMA Royalty acquired an economic interest in DSUVIA(R)
(sufentanil sublingual tablet) from Talphera, Inc., for
$8 million. XOMA Royalty is entitled to royalties from
DSUVIA(R) sales. Alora Pharmaceuticals discontinued its
DSUVIA(R) commercial activities in November 2024. We
remain eligible for payments from sales to the U.S.
Department of Defense.
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Company Acquisitions
Acquired Company Rationale
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Kinnate Biopharma Kinnate stockholders received $2.5879 per share in
cash plus a Contingent Value Right $(CVR)$ on April
3, 2024. The acquisition added approximately $7.8
million in cash and five assets to the XOMA Royalty
portfolio.
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Pulmokine Inc. XOMA Royalty secured a milestone and royalty interest
in Gossamer Bio and Chiesi Farmaceutici's seralutinib
held by Pulmokine, a private company. Seralutinib
is a Phase 3 asset being studied in pulmonary arterial
hypertension (PAH), and Gossamer expects to initiate
a registrational Phase 3 study in pulmonary hypertension
associated with interstitial lung disease (PH-ILD)
in 2025(1) . Acquisition cost was $20 million upfront.
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Product Approvals
Partner Event
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Day One Biopharmaceuticals The U.S. Food and Drug Administration (FDA)
approved Day One's OJEMDA(TM) (tovorafenib) for
use in patients with pediatric low-grade glioma
(pLGG). XOMA Royalty earned a $9.0 million
milestone upon the approval and recorded $2.7
million in income resulting from OJEMDA(TM) sales
in 2024. In addition, XOMA Royalty received an
$8.1 million payment related to Day One's sale of
its priority review voucher.
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Zevra Therapeutics The FDA approved Zevra's MIPLYFFA(TM)
(arimoclomol) capsules as an orally delivered
treatment for Niemann-Pick disease type C (NPC).
MIPLYFFA(TM) is indicated for use in combination
with miglustat for the treatment of neurological
manifestations of NPC in adult and pediatric
patients 2 years of age and older.
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Out-licensing Activities
Partner Event
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Alexion In December 2024, following its acquisition of Amolyt,
Alexion (an AstraZeneca company) exercised Amolyt's
option to continue developing anti-PTH1R monoclonal
antibodies that originated from XOMA's discovery efforts
as potential treatments for primary hyperparathyroidism
and humoral hypercalcemia of malignancy. XOMA Royalty
will be eligible to receive up to $10.5 million in
milestone payments and royalties ranging from low
single to low double-digits on net commercial sales.
Upon Alexion's exercise of the option, XOMA Royalty
earned a $0.5 million payment.
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Kinnate In early 2025, XOMA Royalty secured license agreements
with several parties for the five unpartnered Kinnate
assets. Per the terms of the acquisition, a portion
of any upfront payments received by XOMA Royalty will
be distributed to the Kinnate CVR holders.
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Subsequent Events
Partner Event
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Rezolute Received Breakthrough Therapy Designation from FDA
for ersodetug (RZ358) for the treatment of hypoglycemia
due to congenital hyperinsulinism (cHI)(2) .
Announced the independent Data Monitoring Committee
reviewed the safety data from eight infants ages 3
months to 1 year enrolled in the open-label portion
of the sunRIZE Phase 3 study of ersodetug for the
treatment of hypoglycemia due to cHI. Their conclusion
was the safety profile was such that infants may now
be enrolled in the double-blind, placebo-controlled
study(3) .
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Castle Creek XOMA Royalty added a royalty interest in D-Fi (FCX-007),
a Phase 3 asset being developed by Castle Creek
Biosciences, to the portfolio. D-Fi is being studied in
dystrophic epidermolysis bullosa (DEB), a rare
progressive and debilitating skin disorder. D-Fi has
been granted Orphan Drug Designation for the treatment
of DEB, as well as Rare Pediatric Disease, Fast Track,
and Regenerative Medicine Advanced Therapy designations
by the FDA. XOMA Royalty contributed $5 million to
Castle Creek Biosciences' $75 million syndicated royalty
financing transaction.
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Affitech Research AS XOMA Royalty paid $6 million in milestones to Affitech
related to VABYSMO(R) (faricimab-svoa) achieving
specific sales thresholds. This was the final payment
due to Affitech.
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