Fenwick & West represented Modis Therapeutics, Inc., a privately held biopharmaceutical company focused on developing novel therapies for rare genetic diseases with high unmet medical need, in its definitive agreement to be acquired by Zogenix, Inc. (NASDAQ: ZGNX).
Under the terms of the transaction, Modis will receive an upfront payment of $250 million, comprised of $175 million in cash and $75 million in Zogenix common stock. Modis is also eligible to receive additional milestone payments consisting of $100 million upon receipt of U.S. Food and Drug Administration approval of its lead product candidate MT1621 in the U.S. and $50 million upon European Medicines Agency approval in Europe. Zogenix will also pay a 5% royalty on any future net sales of MT1621.
The transaction is expected to close in September 2019 pending regulatory approvals. More information about the deal can be obtained from the companies’ announcement.
The Fenwick transaction team included Fenwick corporate partners Effie Toshav and David Michaels, counsel Kee Bong Kim and associates Khiree Smith, Adam Derry and Jim Bishop; executive compensation and employee benefits partner Matthew Cantor and associate Sarah Ghulamhussain; intellectual property and technology transactions partner Stefano Quintini and associates Sang Kwon, Claire O’Callaghan and Sophia Chen; and tax partner William Skinner.