Ocugen executes licensing agreement with Kwangdong Pharmaceutical

Ocugen (OCGN) executed a licensing agreement with Kwangdong Pharmaceutical, Co., one of the leading pharmaceutical companies in Korea, for the exclusive Korean rights to OCU400-Ocugen’s novel modifier gene therapy for retinitis pigmentosa. Pursuant to the License Agreement, Ocugen will receive upfront license fees and near-term development milestones equaling up to $7.5M. The company will be entitled to sales milestones of $1.5M for every $15M of sales in Korea, projected to reach $180M or more in the first 10 years of commercialization. Additionally, Ocugen will receive a royalty of 25% on net sales of OCU400 generated by Kwangdong. Ocugen will manufacture the commercial supply of OCU400 under terms of a supply agreement. “There are an estimated 7,000 individuals in the Republic of Korea with RP, which represents approximately 7% of the U.S. market. OCU400 provides the opportunity for our partner to help thousands of patients facing vision loss. Upon regulatory approval of OCU400 in Korea, we believe Kwangdong will become a leader in the field of ophthalmic gene therapy in Korea.”