Nektar receives $19.75M payment

|About: Nektar Therapeutics (NKTR)|By:, SA News Editor

Pursuant to its license, manufacturing and supply agreement with Ophthotech for certain aspects of its PEGylation technology to develop, manufacture and sell Fovista, Nektar Therapeutics (NKTR) receives a $19.75M payment from its partner.

On May 19, 2014 Ophthotech entered into a licensing and commercialization agreement with Novartis (NVS) for Fovista. Pursuant to this contract, Novartis paid Ophthotech a $200M upfront fee. This was the basis for paying $19.75M to NKTR.

NKTR is entitled to as much as $9.5M in additional payments from Ophthotech based on its achievement of certain regulatory and sales milestones plus low- to mid-single digit royalties on net sales of Fovista.