Lipocine And Verity Pharma Enter Into License Agreement For TLANDO Franchise In The U.S. And Canada; Lipocine To Receive $11M License Fee; Up To $259M In Development And Commercial Sales Milestones
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Lipocine Inc. (LPCN) has entered into an exclusive licensing agreement with Verity Pharmaceuticals for the U.S. and Canadian rights to market TLANDO, an oral testosterone replacement therapy (TRT). Lipocine will receive an $11 million license fee and up to $259 million in development and commercial sales milestones, plus royalties up to 18% on net sales. The commercialization of TLANDO in the U.S. will transition to Verity Pharma on Feb. 1, 2024. Lipocine retains rights outside the U.S. and Canada and non-TRT rights globally. The deal aligns with Lipocine's focus on CNS disorders and adds value to its non-core assets.
January 18, 2024 | 1:03 pm
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Lipocine Inc. enters a lucrative licensing deal with Verity Pharma for TLANDO, securing significant upfront and milestone payments, plus royalties. This agreement enhances Lipocine's financial position and allows it to concentrate on its CNS disorder treatments.
The licensing agreement is directly related to Lipocine and represents a significant financial benefit through the license fee and potential milestone payments. The royalties on net sales provide a continuous revenue stream, which is likely to be viewed positively by investors. The focus on CNS disorders aligns with the company's strategic goals, potentially increasing investor confidence in the company's future.
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