ROCKVILLE, Md.—Nabi Biopharmaceuticals has received a $5 million payment from Fresenius USA Manufacturing Inc. that was triggered by the first commercial sale of Phoslyra, a milestone under the agreement governing the company's 2006 sale of PhosLo and related assets to Fresenius.
These assets included the rights to a new liquid formulation of PhosLo that Fresenius has commercialized as Phoslyra, according to Nabi.
Nabi received $65 million when the PhosLo sale transaction closed in November 2006 and has collected an additional $18 million in milestone payments since then. The company has the opportunity to receive a $2.5 million milestone payment tied to approval of a new indication for PhosLo along with approximately $65 million in potential royalty payments based on annual sales of Phoslyra over a base amount. Under the agreement with Fresenius, Nabi can collect Phoslyra royalties until 10 years after the closing date, or Nov. 14, 2016.
"We are pleased that this milestone has been achieved and hope that it will unlock the significant remaining value of our potential PhosLo revenue stream," said Dr. Raafat Fahim, president CEO of Nabi Biopharmaceuticals. "Since closing the sale in 2006, we have successfully achieved five of the six milestones under the sale agreement. We look forward to receiving additional potential PhosLo revenues."
