Catalyst, BioMarin sign Firdapse licensing deal

Catalyst licenses North America rights to Firdapse, an orphan drug that is in the Phase III trial for the treatment of Lambert-Eaton myasthenic syndrome (LEMS).

According to the convertible promissory note and note purchase agreement, BioMarin will invest $5m in Catalyst for further progress of Firdapse program in the US.

Catalyst chief executive officer Patrick McEnany said as part of the arrangement, the company is gaining access to a late-stage US orphan drug targeting LEMS.

"Our existing product candidates are focused on addiction and central nervous system orphan indications like Infantile Spasms/West Syndrome and Tourette’s Disorder, and adding Firdapse is consistent with our product development strategy," McEnany added.

Under the licensing contract, Catalyst will be accountable for Firdapse development and commercialization cost in the licensed region and both the companies will share the cost of various post-marketing studies equally in the EU.

Subject to certain conditions, BioMarin is entitled to receive royalty payments while the former Huxley Pharmaceuticals shareholders are eligible for milestone and royalty payments.

Additionally a third-party licensor, of the rights being sublicensed to Catalyst, is even eligible to earn milestone and royalty payments.