Ono Pharmaceutical Co. Ltd. secured the rights to two late-stage cancer compounds developed by Array BioPharma Inc.

The Japanese pharmaceutical company will pay $31.6 million for the rights to binimetinib and encorafenib in Japan and South Korea. The drugs are meant to treat BRAF-mutant melanoma and BRAF-mutant colorectal cancer.

Array BioPharma can receive up to an additional $156 million in milestone-related payments; it will also receive royalties on the sales of the drugs, which are in phase 3 trials and have yet to be approved in any country.

Ono may also conduct binimetinib and encorafenib clinical trials in both countries, in addition to contributing 12% of the costs in future global development.