Codexis Announces Purchase Agreement With Nestlé Health Science For CDX-7108; Under The Terms, Codexis Will Receive Up To $45M In Potential Milestone Payments, Including A $5M Upfront Payment, As Well As Single-Digit Net-Sales-Based Royalties
Portfolio Pulse from Benzinga Newsdesk
Codexis, Inc. (NASDAQ:CDXS) has entered into a purchase agreement with Nestlé Health Science for CDX-7108, a therapy for exocrine pancreatic insufficiency (EPI). Codexis will receive up to $45M in milestone payments, including a $5M upfront payment and single-digit net-sales-based royalties. An additional $5M is possible if Nestlé exercises an option for two more early-stage enzymes. Nestlé will handle further development and commercialization, while Codexis focuses on its ECO Synthesis platform and Pharmaceutical Manufacturing business growth.
December 27, 2023 | 1:33 pm
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Codexis has secured a deal with Nestlé Health Science for its EPI therapy, CDX-7108, with potential milestone payments totaling $45M and royalties. This agreement allows Codexis to concentrate on its core platforms and could provide a significant financial boost.
The agreement with Nestlé Health Science is likely to have a positive short-term impact on Codexis' stock price due to the immediate $5M upfront payment and the potential for future milestone payments and royalties. This deal also validates Codexis' technology and provides financial resources to invest in its other business areas, which could be viewed favorably by investors.
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