Maxygen announced that it will receive a $30.0 million payment from Bayer HealthCare LLC in connection with Bayer’s clinical development of a recombinant factor VIIa product candidate for the treatment of hemophilia. Maxygen sold the recombinant factor VIIa product candidate (previously designated by Maxygen as MAXY-VII) to Bayer in July 2008 for an upfront cash payment of $90.0 million. The purchase included all of its other hematology assets.
As of Monday, the additional $30.0 million contingent payment was based on the product candidate’s further development by Bayer and was also subject to the satisfaction of certain patent related conditions – all of which have been satisfied. Maxygen is not eligible for any further payments from Bayer related to these assets.
“The receipt of the full payment from Bayer represents a significant milestone in our continuing efforts to maximize returns for our stockholders,” said James Sulat, Chief Executive Officer of Maxygen. “We congratulate our colleagues at Bayer for this achievement and are pleased to see a program originally developed by Maxygen continue in clinical development.”
At March 31, 2012, Maxygen held approximately $155.3 million in cash, cash equivalents, and short-term investments. As of April 30, 2012, the company had 27,756,742 outstanding shares of common stock.
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