NRx Pharmaceuticals will receive an initial payment of $10m on obtaining successful findings from the ongoing Phase IIb/III clinical trial and on completion of a Type B meeting with the US Food and Drug Administration (FDA).
The company will receive a further $5m on gaining US FDA approval for NRX-101, and $330m milestone payments on reaching net sales targets.
It will also be eligible for a royalty on net sales between 12% and 16%, contingent upon meeting sales thresholds in the US market, and for payments based on the success of the product in other global markets.
NRx Pharmaceuticals CEO Stephan Willard stated: “This collaboration can accelerate the delivery of NRX-101 to patients grappling with suicidal bipolar depression who desperately need better treatment alternatives.
“This global partnership significantly minimises the need for future capital raises for NRX-101 development and commercialisation.”