BPMC - Blueprint to sell Ayvakit royalty for $250M upfront; Gavreto royalty for $175M upfront

• Blueprint Medicines ( NASDAQ: BPMC ) said it signed strategic financing collaborations with Sixth Street and Royalty Pharma ( NASDAQ: RPRX ) for up to $1.25B.
• Blueprint is selling royalty rights on lung cancer drug Gavreto — marketed by Roche — to Royalty Pharma in areas outside of the U.S., not including Greater China, for $175M cash upfront and up to $165M in potential sales-based milestones.
• Meanwhile, the agreement with Sixth Street has three parts:
• Blueprint will get $250M cash upfront in exchange for future systemic mastocytosis drug Ayvakit/Ayvakyt and BLU-263 royalties at 9.75% subject to an annual cap of $900M in net sales and a cumulative cap of 1.45 times invested capital.
• Blueprint Sixth Street signed an up to $400M senior secured credit facility, under which Blueprint will draw $150M initially with an additional $250M available tranches at the Blueprint's choice.
• In addition, there is a $260M potential credit facility to support buy-side business development opportunities, subject to agreement between Sixth Street and Blueprint.
• Blueprint said the financing will help in expanding its pipeline and pursue strategic business development opportunities.
• BPMC +3.33% to $53.95 premarket June 30.

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