Rigel Acquires U.S. Rights to Gavreto

Rigel Pharmaceuticals has reached an agreement with Blueprint Medicines to purchase the U.S. rights to the lung-cancer drug Gavreto for an initial price of $15 million.

Deal Details

• Upon the first commercial sale, Rigel will pay $10 million for the drug.
• An additional $5 million will be paid on the first anniversary of the closing date.
• Blueprint may receive up to $97.5 million in commercial milestone payments and up to $5 million in regulatory milestone payments.
• Blueprint is also entitled to tiered royalties on sales.

Transition and Sales

• Rigel anticipates completing the transition of Gavreto and commencing product sales in the third quarter.
• Gavreto generated approximately $28 million in U.S. net product sales last year.

Background and Partnership

• Blueprint Medicines, based in South San Francisco, California, is a biotechnology company.
• Roche previously held global rights to Gavreto but ended the collaboration, prompting Blueprint to seek a new U.S. partner.
• The drug is approved for adults with metastatic RET fusion-positive non-small cell lung cancer.