XOMA Royalty Corp Acquires Pulmokine, Expands Portfolio with Seralutinib Asset

XOMA Royalty Corporation recently announced its successful acquisition of Pulmokine, Inc., further enhancing its portfolio. The acquisition, finalized with a $20 million cash payment at closing, includes an agreement that entails future success-based considerations contingent on development and commercial events for Pulmokine stockholders.

As part of the acquisition, XOMA Royalty Corp is set to receive net royalties ranging from the low to mid-single digits on commercial sales. Moreover, the company will hold up to $25 million in future milestone payments related to seralutinib, a Phase 3 asset recently added to its asset mix. The acquisition process involved Sub, a wholly-owned subsidiary of XOMA Royalty Corporation, merging with Pulmokine Inc. as the surviving entity under the XOMA Royalty umbrella.

Seralutinib, the newest addition to XOMA Royalty’s portfolio, marks the company’s seventh Phase 3 royalty asset. This asset is currently being developed and co-commercialized by Gossamer Bio, Inc. and Chiesi Farmaceutici S.p.A., with a Phase 3 study for pulmonary arterial hypertension underway, expected to conclude readings in the fourth quarter of 2025.

Brad Sitko, Chief Investment Officer of XOMA Royalty, highlighted the strategic value of the acquisition, emphasizing the potential of seralutinib beyond its current focus on PAH. The company continues its commitment to offering innovative royalty capital solutions to enhance its diverse portfolio.

XOMA Royalty was legally advised by Gibson, Dunn & Crutcher LLP during the acquisition process, ensuring adherence to regulatory requirements.

XOMA Royalty Corporation, a biotechnology royalty aggregator, focuses on acquiring future economic interests linked to pre-commercial therapeutic candidates licensed to biotech or pharmaceutical companies. The company’s unique approach provides sellers with non-dilutive, non-recourse funding to advance internal drug candidates or support general corporate objectives.

The recent acquisition and addition of seralutinib reinforce XOMA Royalty’s dedication to expanding its assets while aiming to bring valuable solutions to the healthcare industry.

For further details and updates regarding XOMA Royalty Corporation and its asset portfolio, visit www.xoma.com or connect with the company on LinkedIn.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read XOMA’s 8K filing here.

About XOMA

XOMA Corporation operates as a biotech royalty aggregator in the United States and the Asia Pacific. It has a portfolio of economic rights to future potential milestone and royalty payments associated with partnered commercial and pre-commercial therapeutic candidates. The company also focuses on early to mid-stage clinical assets primarily in Phase 1 and 2 with commercial sales potential that are licensed to partners; and acquires milestone and royalty revenue streams on late-stage clinical or commercial assets.