Australian biotech Pharmaxis has sold a drug to treat a common liver disease to a German company in a deal worth $750 million.
The drug, called PXS4728A, is designed to treat NASH, a progressive form of non‐alcoholic fatty liver disease, the most common liver disorder in Western nations. It is regarded as a major cause of fibrosis and cirrhosis of the liver.
CEO Gary Phillips says the deal with Boehringer Ingelheim has a total potential value of more than $750 million.
Pharmaxis will receive an upfront payment of Euro 27.5 million (approximately $39 million) and further payments over time, subject to the continuing successful development and commercialisation of PXS4728A.
It’s shares were trading almost 50% higher at $0.247.