Sarepta tells Bloomberg expects to honor Arrowhead commitments

Arrowhead (ARWR) this morning announced in a press release that it expects to receive $100M in milestone payments within 60 days from Sarepta (SRPT). The milestone was triggered when Arrowhead reached the first of two prespecified enrollment targets and subsequent authorization to dose escalate in a Phase 1/2 clinical study of ARO-DM1, an investigational RNA interference therapeutic for the treatment of type 1 myotonic dystrophy, the company said in a statement. Arrowhead currently expects to achieve the second enrollment target by the end of 2025, which would trigger an additional $200M milestone payment from Sarepta. “We intend to honor our commitments” to Arrowhead, Sarepta said in an emailed statement to Bloomberg. Arrowhead has put public pressure on Sarepta over the past week, saying it could take back the rights to its drug if Sarepta fails to make payments. Shares of Arrowhead are up 3% to $16.18 in midday trading while Sarepta is up 9% to $12.99.