Opexa Hits Transfer Milestone with Novartis

Opexa Therapeutics has achieved its first technology transfer milestone in connection with its recently announced exclusive stem cell agreement with Novartis. The milestone was completed on schedule and triggers a payment of $500,000 to Opexa.

Opexa recently entered into an exclusive agreement with Novartis for the further development of its novel stem cell technology. Opexa received an upfront cash payment of $3 million and was entitled to an additional $1 million as a technology transfer fee to be paid over the course of a six-month period. The $500,000 milestone is part of this $1 million fee. Total payments to Opexa, including the upfront payment, the technology transfer fee and development and commercial milestone payments could exceed $50 million, not including royalties. Opexa is eligible to receive royalty payments from the sale of any products resulting from the use of the technology and retains an option on certain manufacturing rights.

Opexa is developing Tovaxin, a personalized T-cell immunotherapy for multiple sclerosis (MS).

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