Heidelberg Pharma Modifies Royalty Financing with HealthCare Royalty

Heidelberg Pharma AG has amended its royalty financing agreement with HealthCare Royalty (HCRx). This adjustment will result in a USD 20 million payment to Heidelberg Pharma, extending their financial runway into 2027. The original agreement, signed in March 2024, involved monetizing future royalties from TLX250-CDx sales, a PET imaging agent for renal cancer.

Key modifications include the removal of the USD 15 million milestone payment for 2025 due to potential delays in FDA approval, which could be granted by August 27. Additionally, the USD 75 million payment upon approval is reduced to USD 70 million, with further reductions possible if approval is delayed beyond 2025. The royalty cap with HCRx has increased, allowing a shifted royalty structure favoring Heidelberg Pharma once the cap is reached.