Latham & Watkins Advises Sobi on Strategic Licensing and Collaboration Agreement with Apellis Pharmaceuticals Inc.

Sobi, a specialised international biopharmaceutical company transforming the lives of people with rare diseases, and Apellis Pharmaceuticals, Inc., a clinical-stage biopharmaceutical company focused on the development of novel therapeutic compounds to treat disease through the inhibition of the complement system, have announced a strategic collaboration agreement for systemic pegcetacoplan, a targeted C3 therapy, for the treatment of multiple rare diseases including Paroxysmal nocturnal haemoglobinuria (PNH), CAD, HSCT-TMA, Immune complex membranoproliferative glomerulonephritis (IC-MPGN) and C3 glomerulopathy (C3G), and Amyotrophic lateral sclerosis (ALS).

Under the terms of the agreement Sobi obtains global co-development and exclusive ex-US commercialisation rights for systemic pegcetacoplan. The companies will jointly advance five parallel registrational programmes including two new haematological studies planned to start in 2021. Sobi will make an upfront payment of US$250 million to Apellis and USD 80 million in committed development reimbursements over four years, and up to US$915 million in regulatory and commercial milestones, which are dependent upon specific regulatory and development targets having been met, plus tiered double-digit royalties. Find more information here. 

Latham & Watkins LLP represented Sobi in the transaction. The life sciences licensing team was led by San Diego partner Steven Chinowsky and London associate Frances Stocks Allen, with a cross-border team comprising of London associate Oliver Mobasser, New York counsel Eliot Choy, San Diego counsel Darryl Steensma, London associate Oscar Bjartell, and San Diego associate Robert Yeh. Advice was provided on tax matters by San Francisco partner Kirt Switzer.