) and Tolero Pharmaceuticals recently signed an exclusive global
license agreement, which will enable Tolero to develop and market
compounds from MannKind's novel BTK (Bruton's tyrosine kinase)
Terms of the Agreement
The novel BTK program is focused on the development of
treatments for hematological malignancies and inflammatory
As per the agreement, MannKind could receive up to $130 million
in the form of upfront as well as milestone payments for the
development, approval and commercialization of the products. Apart
from the upfront and milestone payments, MannKind will also get
tiered royalties on product sales and a share of sub-licensing
MannKind can also re-acquire the rights to the program on the
basis of specified terms until 60 days after the end of the first
phase I study. If MannKind decides to take up this option, it will
be responsible for the development and commercialization of the
products and will be liable to pay upfront and milestone payments,
royalties and other payments to Tolero as per the agreement.
The agreement with Tolero is a positive step for MannKind. It
not only provides the company with funds in the form of upfront,
milestone and other payments, it also allows the company to share
the risks associated with the development of pipeline
Afrezza is the lead pipeline candidate at MannKind. The company
is currently conducting two clinical trials with the candidate,
which should finish by year end.
We currently have a Neutral recommendation on MannKind, which
carries a Zacks #3 Rank (short-run Hold rating).
MANNKIND CORP (MNKD): Free Stock Analysis
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