EBS - Chimerix stock slumps ~37% on Emergent acquiring rights to smallpox therapy Tembexa

Chimerix's (NASDAQ:CMRX) stock fell ~37% premarket May 16 after Emergent BioSolutions (NYSE:EBS) said it was acquiring exclusive worldwide rights to Chimerix's smallpox antiviral Tembexa. Under the agreement, Emergent will pay Chimerix $225M upfront in cash upon closing and up to a total of $100M in milestone payments contingent on the potential exercise by the U.S. government of procurement options following the base period. The terms also include sales-based royalties based on future potential worldwide procurement during the exclusivity period of Tembexa on a market-to-market basis. Chimerix remains eligible to receive a portion of the regulatory milestone payments linked with the license to SymBio Pharmaceuticals for indications other than orthopox infections. Tembexa (brincidofovir) was approved in the U.S. in June 2021 for all age groups as a treatment for smallpox. In April Chimerix said that it was in negotiations with the Biomedical Advanced Research and Development Authority (BARDA) (part of HHS) for development and procurement of up

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Chimerix stock slumps ~37% on Emergent acquiring rights to smallpox therapy Tembexa