Relief Therapeutics ( OTCQB:RLFTF ) ( OTCQB:RLFTD ) and NRx Pharmaceuticals ( NASDAQ: NRXP ) said they signed settlement agreements to resolve their pending litigation related to experimental COVID-19 therapy Zyesami (aviptadil).
As part of the settlement, NRx will transfer to Relief all of the assets that it previously used in its aviptadil development program, including regulatory filings, patent applications, clinical data, and formulation of aviptadil product it was previously developing.
Relief will have the exclusive right and control going ahead and the obligation to use commercially reasonable efforts to develop and commercialize an aviptadil product. Relief agreed to make efforts to continue the existing Right to Try Program for aviptadil in the U.S. for at least 2 years.
Relief will pay NRx milestone payments if it can successfully get commercial approval of an aviptadil product (whether for COVID-19 or any other indication).
Relief would also pay royalties on sales, up to a maximum of $30M.
The company said NRx has agreed not to compete in the development of an aviptadil product in the future.
The closing of the agreement is expected within 30 days, upon which the companies will dismiss their pending litigation.
Relief noted that there can be no assurances that it will be successful at commercializing aviptadil.
Last week, Relief and NRx had extended the stay of their pending litigation until Nov. 11 to get more time to finalize a settlement.
NRXP +3.0% to $1.03 premarket
For further details see:
Relief, NRx reach settlement over COVID-19 therapy aviptadil