ObsEva Announces Sale Of Ebopiprant Royalty And Milestone License To XOMA

(RTTNews) - ObsEva SA (OBSV) announced the sale of all of its rights to Ebopiprant to XOMA Corp. (XOMA) for an upfront payment of $15 million and future milestone payments of up to $98 million. The sale includes the company's license agreements with Organon and Merck KGaA, Darmstadt, Germany, and the intellectual property estate. In addition to the $15 million received in upfront proceeds, ObsEva is eligible to receive up to $98 million upon the achievement of certain development and regulatory milestones and sales milestones under the license agreement with Organon for Ebopiprant that was sold to XOMA in the transaction.

ObsEva expects the sale proceeds to resolve its current over-indebtedness position, enabling to withdraw previously announced moratorium proceedings before Swiss courts, as well as position to regain compliance with minimum stockholders' equity requirements for continued listing on Nasdaq.