Ligand Pharmaceuticals, a San Diego-based biopharmaceutical company, has licensed the rights to four programs to Seelos Therapeutics, a newly formed New York-based biopharmaceutical company focused on central nervous system (CNS), respiratory, and other disorders. The licensed therapeutic programs include Ligand’s aplindore program for various CNS disorders, a CRTH2 antagonist program for the treatment of respiratory disorders, a Captisol-enabled acetaminophen program for pain and fever management, and an H3 receptor antagonist program for the treatment of narcolepsy.

Under the license, Ligand is entitled to receive initial payments in equity or cash of $1.3 million upon Seelos’ completing a minimum of $7.5 million financing and up to an additional $3.5 million if Seelos becomes a public company as well as up to $145 million of additional cash milestones. In addition, Ligand is entitled to net sales royalties ranging from 4% to 10% for the various programs licensed. Ligand has also entered into a supply agreement for Captisol. If certain conditions are met, Ligand will provide a three-year convertible loan facility to Seelos in an amount up to $500,000. Seelos is responsible for all development activities under the license.

Source: Ligand Pharmaceuticals