Recursion Acquires Rallybio's Full Interest In Joint ENPP1 Inhibitor Program And Associated Backup Molecule For Treatment Of Hypophosphatasia; Rallybio To Receive $7.5M Upfront, With Potential For $17.5M More In Preclinical And Clinical Milestones

Recursion (NASDAQ:RXRX) a leading clinical stage TechBio company decoding biology to radically improve lives today announced the acquisition of Rallybio's (NASDAQ:RLYB) full interest in their joint ENPP1 inhibitor program (REV102) and an associated backup molecule for the treatment of hypophosphatasia (HPP), a rare and debilitating genetic disorder.

Terms of the Agreement

Under the terms of the agreement, Rallybio is eligible to receive certain payments, including $7.5 million in upfront equity, a contingent equity payment of $12.5 million upon the initiation of additional preclinical studies, and a $5 million milestone payment in connection with the initiation of dosing in a Phase 1 clinical study, as defined in the agreement. Rallybio is also eligible to receive low single-digit royalties on all future net sales by Recursion. In addition, Rallybio may be eligible to receive certain payments in the event of Recursion's sale of the REV102 program.