Royalty Stream Buyout Negotiations - Cancer Therapeutic
BACKGROUND
Upstream's client, a renowned research institute, had licensed a patented cancer therapeutic technology, which had recently launched following FDA approval. It was seeking to negotiate a buyout of the future royalty stream.
OUR ANALYSIS
Upstream:
Prepared projections of future drug sales and royalties to the institute,
Assessed potentially competitive drugs that would serve the same patient populations,
Prepared multiple scenarios for review and analysis with the institute's leadership, and
Developed proposed buyout terms and supported institute personnel in negotiations.
OUTCOME
Upstream's client sold a portion of its royalty stream in a creative deal structure that provided an eight figure payment with potential longer term payments.