Biofrontera announces sale of license for Xepi Cream to Pelthos

Biofrontera (BFRI) announced that it has divested its US license for Xepi Cream, 1% to Pelthos Therapeutics (PTHS). Biofrontera received $3 million at closing, and is to receive an additional $1 million upon availability of commercial product, and up to $6 million in milestone payments, with $3 million each tied to achieving $10 million and $15 million in annual net revenues for Xepi, respectively, within the U.S., Puerto Rico and the U.S. Virgin Islands. “This divestiture further strengthens our balance sheet subsequent to the recent restructuring of our agreement with Biofrontera AG and is expected to fund the Company to profitability,” said Dr. Hermann Luebbert, Chief Executive Officer and Chairman of Biofrontera. “The recently announced strong reduction in the earnout payable for Ameluz(R), and the related capital investment from leading healthcare funds, enables us to focus on our PDT franchise by both accelerating sales initiatives and working to expand the approved Ameluz(R) indications for the treatment of actinic keratosis and beyond.”