GRFS will take on all development and clinical expenses of he drug, up to a maximum of $65M for the non-cystic fibrosis bronchiectasis indication. There is currently no drug specifically approved for the treatment of this condition.
In addition, ARDM.OB is entitled to receive cash payments of up to $25M upon achievement of development milestones.
ARDM.OB was awarded orphan drug designation for BE in the U.S., and has completed Phase IIb clinical trials with the inhaled ciproflaxin - Pulmaquin and LipoQuin.
Existing ARDM.OB shareholders, including Tavistock Life Sciences Company and accounts managed by First Eagle Investment Management and new investor Great Point Partners, co-invested in the stock purchase, buying an additional $15.4M in ARDM.OB stock.