SCYNEXIS, Inc. (NASDAQ: SCYX) operates as a biotechnology company, which is focused on the research and development of novel solutions to treat drug-resistant and difficult-to-treat infections. Shares of the biotech company are surging 55% through early trading on Thursday, March 30, 2023. Over the past three months, SCYNEXIS has seen average daily volume of 416,600 shares. However, volume of 29.16 million shares or dollar volume of around $73.48 million, has already exchanged hands through early trading.
Shares of SCYNEXIS are soaring after the company announced it has entered into an exclusive license agreement with GSK plc (NYSE: GSK), which will focus on the commercialization of Brexafemme, a U.S. FDA-approved, first-in-class antifungal treatment for vulvovaginal candidiasis (VVC & RVVC). Under the agreement, GSK will have the right to commercialize Brexafemme for VVC and RVVC, while also continuing to develop ibrexafungerp, a Phase 3 drug candidate for the treatment of invasive candidiasis (IC), which can be a very serious fungal infection that could lead to death.
According to the exclusive agreement, GSK will pay SCYNEXIS an upfront payment of $90 million, with additional potential milestone payments totaling $503 million. Up to $245.5 million of specific milestones will be payable based on development, regulatory and commercial milestones in relation with ibrexafungerp and the treatment of IC. Another $15 million milestone will be payable to SCYNEXIS if ibrexafungerp is successfully approved by the Food and Drug Administration. The remaining $242.5 million in potential milestone payments will be tied to sales-related milestones.
David Angulo, M.D., President and Chief Executive Officer of SCYNEXIS: “This agreement represents a major milestone for SCYNEXIS, maximising Brexafemme’s commercial potential in VVC and further validating our vision of the critical role for this first-in-class antifungal in invasive infections. We are thrilled to partner with GSK on this high-potential asset and will continue progressing ibrexafungerp’s phase III program in invasive candidiasis (IC).”
Disclosure: No position. Spotlight Growth has no relationships with any of the companies mentioned in this article and did not receive payment in any form for its creation. This is an opinion article and is not meant to be financial advise. We are not broker-dealers or investment professionals. Please conduct your own due diligence. For more information on our disclosures, please visit: https://spotlightgrowth.com/disclosures/