BridgeBio Inks Licensing Pact With Bristol Myers For SHP2 Inhibitor In Oncology

BridgeBio Pharma Inc BBIO has announced an exclusive license with Bristol Myers Squibb Co BMY to develop and commercialize BBP-398, a potentially best-in-class SHP2 inhibitor, in oncology.
Under the agreement terms, BridgeBio will receive an upfront payment of $90 million, up to $815 million in development, regulatory and sales milestone payments, and tiered royalties in the low- to mid-teens.
BridgeBio will retain the option to acquire higher royalties in the U.S. in connection with funding a portion of development costs upon the initiation of registrational studies.
Related: BridgeBio Shares Plunge After it Details Out-Licensing Plans For 'Restructuring Initiative.'
BridgeBio will continue to lead its ongoing Phase 1 monotherapy and combination therapy trials. Bristol Myers Squibb will lead and fund all other development and commercial activities.
In July 2021, BridgeBio initially announced a non-exclusive, co-funded trial collaboration with Bristol Myers Squibb to evaluate the combination of BBP-398 with Opdivo (nivolumab) in advanced solid tumors with KRAS mutations.
Price Action: BBIO shares are up 4.61% at $5.45, and BMY stock is down 0.35% at $75.88 on the last check Thursday.