Sangamo Inks Evaluation And Option Agreement With Lilly's Prevail For Adeno-associated Virus Capsids

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Sangamo Inks Evaluation And Option Agreement With Lilly's Prevail For Adeno-associated Virus Capsids

(RTTNews) - Genomic medicine company Sangamo Therapeutics, Inc. (SGMO) announced Monday it has signed an evaluation and option agreement with Prevail Therapeutics, a wholly owned subsidiary of Eli Lilly and Co. (LLY).

Under the agreement, Prevail has been granted rights to evaluate certain proprietary adeno-associated virus (AAV) capsids developed by Sangamo and may exercise certain options to license these capsids for multiple undisclosed neurological targets.

Prevail will evaluate Sangamo's proprietary capsids by performing in vitro and in vivo studies, with an option to obtain an exclusive license to use the capsids for certain neurological targets.

Sangamo will provide the capsids to Prevail for evaluation in exchange for an upfront payment. If Prevail exercises its option for all targets, and a Prevail product is approved in the U.S. and Europe for each target, Sangamo would be eligible to receive exercise fees and developmental milestones of up to approximately $415 million and commercial milestones of up to approximately $775 million, in addition to tiered royalties based on net sales of Prevail products incorporating the licensed capsids.

Prevail would also lead all further development, manufacturing and commercialization of products incorporating the licensed capsids.

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