Esperion (Nasdaq: ESPR) announced today that it has entered into a
Royalty Purchase Agreement (the Agreement) with OMERS Life Sciences
(OMERS), under which Esperion
received approximately $304.7 million in cash from OMERS
in exchange for 100% interest, subject to a cap, in
Esperion’s royalty entitlement on Daiichi Sankyo Europe’s
(DSE) net sales of bempedoic acid products in the
European territories for which DSE has an exclusive
license from Esperion (see previous announcement here).
Under the terms of the Agreement, OMERS will receive this tiered
royalty, which ranges from 15-25% of net bempedoic acid product
sales in Europe, until it has received an aggregate amount equal to
1.7x investment. Thereafter, all future DSE royalties will revert
back to Esperion. Esperion will continue to receive any earned
sales-based milestone payments following the first achievement of
defined net sales under the DSE agreement, which could cumulatively
amount to up to $300 million in potential future payments.
Concurrently, the company announced that funds received from
this transaction have been used for the early, discounted payoff
and termination of the Oberland Capital revenue interest
facility.
“This transformational transaction provides Esperion with
increased operational and financial flexibility. It strategically
unencumbers our balance sheet from senior secured liens and
leverages what we believe is an undervalued asset that has not been
fully recognized in the market,” stated Sheldon Koenig, President
and CEO, Esperion. “Importantly, this mutually beneficial deal
underscores the potential for our bempedoic acid products in Europe
and allows us to benefit from the potential upside of the triple
combination product our partner, DSE, is currently pursuing.”
“This agreement significantly enhances our balance sheet and
better positions us to focus on optimizing our U.S.
commercialization efforts as we build Esperion into a leading
biopharmaceutical company bringing new medicines to patients that
address unmet medical need,” commented Ben Halladay, Chief
Financial Officer, Esperion.
“We are pleased to invest in the future European sales of
bempedoic acid, a product which we expect to benefit millions of
patients throughout Europe,” said Rob Missere, Managing Director
& Head of Life Sciences. “This deal furthers our mandate to
deliver an attractive source of long-term return for our more than
600,000 members.”
J. Wood Capital Advisors served as the financial advisor to the
company on the royalty sale transaction.
About OMERS Life SciencesOMERS Life Sciences
provides royalty financings and other non-dilutive solutions to
biopharma companies and academic institutions, supporting their
efforts to address unmet medical needs and improve the quality of
life of patients around the world.
OMERS is a jointly sponsored, defined benefit pension plan, with
1,000 participating employers ranging from large cities to local
agencies, and over 600,000 active, deferred and retired members.
Our members include union and non-union employees of
municipalities, school boards, local boards, transit systems,
electrical utilities, emergency services and children’s aid
societies across Ontario. OMERS teams work in Toronto, London, New
York, Amsterdam, Luxembourg, Singapore, Sydney and other major
cities across North America and Europe – serving members and
employers, and originating and managing a diversified portfolio of
high-quality investments in bonds, public and private credit,
public and private equity, infrastructure and real estate.
About Esperion TherapeuticsAt Esperion, we
discover, develop, and commercialize innovative medicines to help
improve outcomes for patients with or at risk for cardiovascular
and cardiometabolic diseases. The status quo is not meeting the
health needs of millions of people with high cholesterol – that is
why our team of passionate industry leaders is breaking through the
barriers that prevent patients from reaching their goals. Providers
are moving toward reducing LDL-cholesterol levels as low as
possible, as soon as possible; we provide the next steps to help
get patients there. Because when it comes to high cholesterol,
getting to goal is not optional. It is our life’s work. For more
information, visit esperion.com and esperionscience.com and follow
us on X at twitter.com/EsperionInc.
Forward-Looking Statements This press
release contains forward-looking statements that are made pursuant
to the safe harbor provisions of the federal securities laws,
including statements regarding marketing strategy and
commercialization plans, current and planned operational expenses,
future operations, commercial products, clinical development,
including the timing, designs and plans for the CLEAR Outcomes
study and its results, plans for potential future product
candidates, financial condition and outlook, including expected
cash runway, and other statements containing the words
“anticipate,” “believe,” “estimate,” “expect,” “intend,” “may,”
“plan,” “predict,” “project,” “suggest,” “target,” “potential,”
“will,” “would,” “could,” “should,” “continue,” and similar
expressions. Any express or implied statements contained in this
press release that are not statements of historical fact may be
deemed to be forward-looking statements. Forward-looking statements
involve risks and uncertainties that could cause Esperion’s actual
results to differ significantly from those projected, including,
without limitation, the net sales, profitability, and growth of
Esperion’s commercial products, clinical activities and results,
supply chain, commercial development and launch plans, the outcomes
and anticipated benefits of legal proceedings and settlements, and
the risks detailed in Esperion’s filings with the Securities and
Exchange Commission. Any forward-looking statements contained in
this press release speak only as of the date hereof, and Esperion
disclaims any obligation or undertaking to update or revise any
forward-looking statements contained in this press release, other
than to the extent required by law.
Esperion Contact Information:Investors: Alina
Veneziainvestorrelations@esperion.com (734) 887-3903
Media: Tiffany Aldrich corporateteam@esperion.com (616)
443-8438
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