Vertex Pharmaceuticals (VRTX) has amended and expanded its research development and commercialization agreement with the Cystic Fibrosis Foundation Therapeutics (CFFT). Under the new agreement, Vertex will receive an upfront payment of $75 million and development funding from CFFT of up to $6 million annually.
In return, Vertex has agreed to pay royalties ranging from low single digits to mid-single digits on certain compounds first synthesized and/or tested between March 1, 2014 an Aug 31, 2016. The company will continue to pay royalties ranging from single-digits to sub-teen digits on any approved drugs first synthesized and/or tested on or before Feb 28, 2014.
Additionally, Vertex has entered into a data license agreement with the Cystic Fibrosis Foundation (CFF) where Vertex will pay for continuing access to data from the CFF’s patient registry to be used for research, development and approval of future CF medicines.