Regenxbio Inc. received an accelerated license payment of $100 million from AveXis Inc. under a licensing deal to develop and sell therapies for spinal muscular atrophy, a genetic disease affecting the nervous system.
The accelerated payment is due to Novartis AG's $8.7 billion acquisition of AveXis, Regenxbio said in a news release. The payment includes $60 million in annual fees and a $40 million commercial milestone fee.
Rockville, Md.-based Regenxbio remains eligible for a potential milestone fee of $80 million, as well as royalties on net sales for any product developed under the license deal, which the companies expanded in January.
Meanwhile, Novartis now holds the exclusive rights to Regenxbio's NAV technology platform for developing therapies for spinal muscular atrophy.
The disease, a leading genetic cause of infant deaths, affects the part of the nervous system that controls voluntary muscle movement.
