Sidley represented Dermira, Inc. (NASDAQ: DERM) in an option and license agreement whereby Almirall, S.A. (BME: ALM) acquired an option to license rights to develop and exclusively commercialize lebrikizumab for the treatment of atopic dermatitis and certain other indications in Europe. In exchange, Dermira will receive an upfront option fee of US$30 million. If Almirall exercises its option to obtain the license following the results of the ongoing Phase 2b study, Dermira will receive a US$50 million option exercise fee, and Almirall will be obligated to pay Dermira US$30 million in connection with the initiation of certain Phase 3 clinical studies and up to US$85 million upon the achievement of regulatory milestones and the first commercial sale of lebrikizumab in Europe. In addition, Dermira will be eligible to receive sales milestone payments as well as double-digit royalties.
Sidley partner, Tom Duley (San Francisco), counsel Stephen Abreu (San Francisco) and associate Feola Odeyemi (Washington, D.C.) handled the drafting and negotiating of the agreement. Partner, Stephen Kinsella (Brussels) and associate, Daniel Baker advised on Antitrust/Competition issues. Counsel, Georgia Gavriilidou (London) advised on European Regulatory issues. Partner, Leslie A. Shubert and Partner, Colleen M. Lauerman (Washington, D.C.) advised on FCPA/Anti-corruption issues.
Complete details are available in the press release.