Summit Therapeutics plc Summit Therapeutics Announces Revenue Sharing Agreement With Wellcome Trust

 
TIDMSUMM 
 
   Summit Therapeutics plc 
 
   ("Summit" or the "Company") 
 
   SUMMIT ANNOUNCES SIGNING OF REVENUE SHARING AGREEMENT WITH THE WELLCOME 
TRUST FOR CDI ANTIBIOTIC RIDINILAZOLE 
 
 
   -- Entering revenue share in accordance with terms of prior Wellcome Trust 
      funding award agreement 
 
 
   Oxford, UK, 6 November 2017- Summit Therapeutics plc (NASDAQ: SMMT, AIM: 
SUMM) the drug discovery and development company advancing therapies for 
Duchenne muscular dystrophy and Clostridium difficile infection ('CDI'), 
announces it has entered into an equity and revenue sharing agreement 
(the 'Revenue Share Agreement') with the Wellcome Trust, covering 
potential future revenues generated by ridinilazole, its highly 
selective, novel-class antibiotic for the treatment of CDI. 
 
   The Revenue Share Agreement is a follow-on to the October 2012 
Translational Award Funding Agreement with the Wellcome Trust ('TA 
Agreement'), which provided funding for the now concluded Phase 1 and 
Phase 2 clinical trials for ridinilazole. The commercial terms in the 
Revenue Share Agreement summarised below replace those detailed in the 
TA Agreement. Ridinilazole is currently being prepared to enter Phase 3 
clinical trials in the first half of 2018. 
 
   "The Wellcome Trust has played a crucial role in supporting the 
development of our CDI programme, having provided funding to advance 
ridinilazole from the early stages of discovery through to generating 
clinical proof of concept in patients with CDI," commented Dr David 
Roblin, Chief Operating Officer and Medical Officer at Summit. "We 
believe ridinilazole is a precision antibiotic that has the potential to 
become a front-line therapy for CDI and to deliver real patient benefit. 
We look forward to commencing our Phase 3 clinical programme in the 
first half of 2018." 
 
   Under the Revenue Share Agreement, the Wellcome Trust is eligible to 
receive the following payments if commercialisation of ridinilazole is 
undertaken by a third-party: 
 
 
   -- A mid-single digit percentage share of net revenues received by Summit 
      from sales by the third party. 
 
   -- A one-time first commercial sale milestone payment of a low single digit 
      percentage of any cumulative pre-commercial payments received by Summit 
      from third party licensees (excluding development funding or grant 
      funding received from the US Government Agency, BARDA, or other third 
      parties, including licensees). 
 
   -- A one-time milestone payment of a specified amount if cumulative net 
      revenues exceed a specified amount. 
 
 
   If Summit undertakes the commercialisation of ridinilazole, Wellcome 
Trust is eligible to receive: 
 
 
   -- A low-single digit percentage share of net revenues. 
 
   -- A one-time milestone payment of a specified amount if cumulative net 
      revenues exceed a specified amount. 
 
 
   In addition, under the Revenue Share Agreement, the Wellcome Trust 
agreed to terminate all of its rights under the TA Agreement to develop 
or commercialise ridinilazole or the associated intellectual property in 
the event that Summit was not developing or commercialising 
ridinilazole. 
 
   Separately, the TA Agreement has been novated from Summit Therapeutics 
plc to its wholly owned subsidiary company, Summit (Oxford) Limited. 
The Revenue Sharing Agreement will, unless earlier terminated, expire 
upon the later of:  the expiration of the last patent or patent 
application covering ridinilazole; the expiration of any agreement or 
payment obligations entered into by the Company with a third party 
relating to the commercialisation of ridinilazole; and the expiration of 
any payment obligations owed to the Wellcome Trust relating to the 
commercialisation of ridinilazole. 
 
   A Form 6-K has been filed with the US Securities and Exchange Commission 
('SEC') that contains additional information about the terms of the 
Revenue Share Agreement with the Wellcome Trust. A copy of this Form 6-K 
is available to download either from the Investors section of the 
Company website at www.summitplc.com or from the SEC website at 
www.sec.gov. 
 
   About Summit Therapeutics 
 
   Summit is a biopharmaceutical company focused on the discovery, 
development and commercialisation of novel medicines for indications for 
which there are no existing or only inadequate therapies. Summit is 
conducting clinical programmes focused on the genetic disease Duchenne 
muscular dystrophy and the infectious disease C. difficile infection. 
Further information is available at www.summitplc.com and Summit can be 
followed on Twitter (@summitplc). 
 
   Contacts 
 
 
 
 
Summit 
 Glyn Edwards / Richard Pye (UK office)         Tel: [phone] 
 Erik Ostrowski / Michelle Avery (US office)    [phone] 
Cairn Financial Advisers LLP 
 (Nominated Adviser)                            Tel: [phone] 
 Liam Murray / Tony Rawlinson 
N+1 Singer 
 (Broker)                                       Tel: [phone] 
 Aubrey Powell / Jen Boorer 
MacDougall Biomedical Communications 
 (US media contact)                            Tel: [phone] 
 Karen Sharma                                  [e-mail] 
Consilium Strategic Communications 
 (Financial public relations, UK)              Tel: [phone] 
 Mary-Jane Elliott / Jessica Hodgson /         [e-mail] 
 Philippa Gardner / Rosie Philips 
 
   Summit Forward-looking Statements 
 
   Any statements in this press release about the Company's future 
expectations, plans and prospects, including but not limited to, 
statements about the future operation of the Revenue Sharing Agreement, 
including any potential future payments thereunder, clinical and 
preclinical development of the Company's product candidates , the 
therapeutic potential of the Company's product candidates, the 
sufficiency of the Company's cash resources, the timing of initiation, 
completion and availability of data from clinical trials, the potential 
submission of applications for marketing approvals and other statements 
containing the words "anticipate," "believe," "continue," "could," 
"estimate," "expect," "intend," "may," "plan," "potential," "predict," 
"project," "should," "target," "would," and similar expressions, 
constitute forward-looking statements within the meaning of The Private 
Securities Litigation Reform Act of 1995. Actual results may differ 
materially from those indicated by such forward-looking statements as a 
result of various important factors, including: the uncertainties 
inherent in the initiation of future clinical trials, availability and 
timing of data from ongoing and future clinical trials and the results 
of such trials, whether preliminary results from a clinical trial will 
be predictive of the final results of that trial or whether results of 
early clinical trials or preclinical studies will be indicative of the 
results of later clinical trials, expectations for regulatory approvals, 
laws and regulations affecting government contracts, availability of 
funding sufficient for the Company's foreseeable and unforeseeable 
operating expenses and capital expenditure requirements and other 
factors discussed in the "Risk Factors" section of filings that the 
Company makes with the Securities and Exchange Commission, including the 
Company's Annual Report on Form 20-F for the fiscal year ended 31 
January 2017. Accordingly, readers should not place undue reliance on 
forward-looking statements or information. In addition, any 
forward-looking statements included in this press release represent the 
Company's views only as of the date of this release and should not be 
relied upon as representing the Company's views as of any subsequent 
date. The Company specifically disclaims any obligation to update any 
forward-looking statements included in this press release. 
 
   -END- 
 
   This announcement is distributed by Nasdaq Corporate Solutions on behalf 
of Nasdaq Corporate Solutions clients. 
 
   The issuer of this announcement warrants that they are solely 
responsible for the content, accuracy and originality of the information 
contained therein. 
 
   Source: Summit Therapeutics plc via Globenewswire 
 
 
  http://www.summitplc.com/ 
 

(END) Dow Jones Newswires

November 06, 2017 07:00 ET (12:00 GMT)

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