AlzeCure Pharma OMXSTO:ALZCUR said on Wednesday it had entered an out-licensing and partnership deal with Danish biotech QuantumCell ApS valued at more than $2.2 billion, excluding royalty payments.
AlzeCure develops small-molecule drug candidates for central nervous system diseases with a focus on Alzheimer's disease and pain.
The deal covers global rights to AlzeCure's Alzheimer's platform NeuroRestore, including drug candidate ACD856.
The drug candidate, currently in clinical development, helps protect nerve cells from damage, reduces inflammation, and slows or changes the progression of disease.
"With this agreement we see the opportunity for the project’s assets to earlier reach and benefit several different patient groups," CEO Martin Jönsson said.
The drug's pharmacological mechanism enables its application to multiple indications, such as Alzheimer's and Parkinson's diseases, but also depression.
The Swedish biotech will receive a total upfront payment of $12 million, of which $5 million constitutes a direct investment in AlzeCure.
The deal includes development and commercial milestone payments, as well as tiered single-digit to low double-digit royalties on sales.