Acer Therapeutics Enters Into ACER-001 Development Pact With Relief Therapeutics

Relief Therapeutics Holding AG RLFTF and Acer Therapeutics Inc ACER have entered into a Collaboration and License Agreement for worldwide development and commercialization of ACER-001 for urea cycle disorders (UCDs) and maple syrup urine diseases (MSUD).

• ACER-001 is a proprietary powder formulation of sodium phenylbutyrate designed to be both taste-masked and immediate release.
• Acer will receive an approximately $10 million cash payment.
• Relief will also pay Acer up to $20 million in U.S. development and commercial launch costs for the above indications.
• Acer will retain development and commercialization rights in the U.S., Canada, Brazil, Turkey, and Japan.
• Both the companies will split net profits from Acer’s territories 60:40 in favor of Relief.
• Besides, Relief has licensed the rest of the world’s rights, where Acer will receive from Relief a 15% revenue royalty.
• Acer may also receive $6 million in development milestone payments following the first European marketing approvals for UCDs and MSUD.
• An ACER-001 pre-NDA meeting with the FDA is scheduled for the second quarter of 2021.
• Price Action: ACER shares are up 20.8% at $4.18 in premarket trading on the last check Monday.