Fresh Tracks Announces $8.25 Million Buyout of Its Right to Receive Future Sofpironium Bromide Payments from Botanix

Strengthens cash position as Company continues to evaluate strategic options to maximize shareholder value

BOULDER, Colo., July 21, 2023 (GLOBE NEWSWIRE) -- Fresh Tracks Therapeutics, Inc. (the “Company” or “Fresh Tracks”) (Nasdaq: FRTX), a clinical-stage pharmaceutical company striving to transform patient lives by developing innovative and differentiated prescription therapeutics for the treatment of autoimmune, inflammatory, and other debilitating diseases, today announced it has entered into an amendment to its Asset Purchase Agreement with Botanix Pharmaceuticals Limited (ASX: BOT) (“Botanix”) and its subsidiary, Botanix SB Inc. (the “APA Amendment”), to sell its rights to future event-based milestone and earnout payments on net sales of sofpironium bromide to Botanix SB Inc. for $8.25 million (USD). In May 2022, pursuant to the Asset Purchase Agreement, Botanix acquired from Fresh Tracks all assets primarily related to sofpironium bromide.

“We are pleased to reach this agreement with Botanix, which we view as a win-win deal for all parties involved,” commented Andrew Sklawer, President and Chief Executive Officer of Fresh Tracks. “After the Board’s careful evaluation, it decided that the buyout is in the best interests of the Company and its stockholders. This arrangement strengthens our financial position with non-equity-dilutive capital as we continue to explore and evaluate strategic options to maximize shareholder value.”

Under the terms of the APA Amendment, Botanix will pay $8.25 million in cash in lieu of all remaining amounts potentially payable by Botanix to the Company, $6.60 million of which is payable to the Company and the remaining $1.65 million is payable to the Company’s former licensor. Additional information regarding the transaction and related agreements is contained in a Current Report on Form 8-K filed by the Company on July 21, 2023.

About Fresh Tracks Therapeutics

Fresh Tracks Therapeutics is a clinical-stage pharmaceutical company striving to transform patient lives through the development of innovative and differentiated prescription therapeutics. The Company’s pipeline aims to disrupt existing treatment paradigms and features several new chemical entities that inhibit novel targets with first-in-class potential for autoimmune, inflammatory, and other debilitating diseases. The Company’s strategy is to align this experience and clear vision to explore beyond the limitations of current therapies by identifying, pursuing, and developing next-generation therapeutics that can be groundbreaking in their ability to help millions of people struggling with autoimmune, inflammatory, and other debilitating diseases. For more information, visit https://www.frtx.com.