Oyster Point Pharma Announces License Agreement With Ji Xing Pharmaceuticals in Greater China
Oyster Point Pharma announced an exclusive license and collaboration agreement with Ji Xing Pharmaceuticals to develop and commercialize OC-01 (varenicline) and OC-02 (simpinicline) nasal sprays for the treatment of signs and symptoms of dry eye disease for patients in Greater China. Ji Xing is a biotechnology company headquartered in Shanghai and founded by RTW Investments, focused on bringing breakthrough medicines to underserved Chinese patients with refractory, serious and life-threatening diseases.
Under the terms of the agreement, Oyster Point will grant Ji Xing an exclusive license to develop and commercialize both OC-01 (varenicline) and OC-02 (simpinicline) in patients with ophthalmic diseases in Greater China. Oyster Point will receive an upfront payment consisting of $17.5 million in cash and up to 0.75% of shares in Ji Xing, half of which is subject to a pre-specified vesting condition. In addition, Oyster Point is eligible to receive up to $204.8 million in milestone payments and tiered royalties based on future net sales of OC-01 and OC-02 in Greater China. Ji Xing intends to manufacture OC-01 and OC-02 locally in China and will be responsible for development and commercialization costs in its licensed territory.
“This agreement marks an important step toward providing OC-01 (varenicline) and OC-02 (simpinicline) nasal sprays to patients living with dry eye disease globally while strengthening our cash position,” Jeffrey Nau, president and chief executive officer of Oyster Point Pharma, said in a company news release. “We look forward to partnering with the team at Ji Xing to develop and potentially commercialize these novel therapies in the licensed regions.”
“Stimulating natural tear film production may be a paradigm-changing way to treat dry eye disease, which affects more than 150 million patients in China,” said Joseph Romanelli, CEO of Ji Xing. “We are excited to partner with the Oyster Point team, who are innovative pioneers focused on developing therapeutics for ophthalmic diseases, and bring both OC-01 and OC-02 to China. OC-01 and OC-02 have the potential to offer a compelling alternative to artificial tears and anti-inflammation eye drops to help ease the disease burden for patients.”