Revolution Medicines Partners Royalty Pharma On $2 Bln Flexible Funding

(RTTNews) - Clinical oncology company Revolution Medicines, Inc. (RVMD) announced Tuesday that it has partnered with Royalty Pharma on $2 billion in flexible funding to support Revolution Medicines' independent global development and commercialization strategy and operations.

Revolution Medicines retains full strategic and executional control of product development and commercialization for its portfolio of RAS(ON) inhibitors in the US and internationally.

This will enable the company to leverage its assets, capabilities and momentum toward establishing new global standards of care and creating value for shareholders.

The funding agreement provides for $2 billion in committed capital comprised of up to $1.25 billion in synthetic royalty monetization on sales of daraxonrasib, the company's RAS(ON) multi-selective inhibitor, and up to $750 million in corporate debt.

The agreement provides significant flexibility to Revolution Medicines with $1.25 billion of the total funding reserved as optional to the company at its discretion, subject to the achievement of specific milestones.