Dechert Advises Royalty Pharma on Two Transactions

 
November 14, 2019

Dechert advised Royalty Pharma on IP-related matters in its agreement to purchase future royalties on cancer drug tazemetostat from Eisai for $330 million, and a $100 million initial Investment in Epizyme. These transactions were announced November 5, 2019.

Under the terms of its agreement with Eisai, Royalty Pharma has acquired Eisai's future worldwide royalties on net sales by Epizyme of tazemetostat outside of Japan, for an upfront payment of $110 million plus up to an additional $220 million for the remainder of the royalty upon FDA approval of tazemetostat for certain indications. Under the terms of its agreement with Epizyme, Royalty Pharma will make an upfront payment of $100 million for shares of Epizyme common stock based on a price of $15 per share. Epizyme has an 18-month option to sell an additional $50 million of its common stock to Royalty Pharma at then prevailing prices, not to exceed $20 per share, and Royalty Pharma has a three-year option to purchase an additional 2.5 million shares of Epizyme common stock at $20 per share.

The Dechert team includes partner Carl A. Morales, Ph.D.; associates Blaine M. Hackman, Ph.D. and Gang Wang, Ph.D.; and patent agent Todd Macklin, Ph.D. 

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