Xencor Sells Portion of Royalties and Milestones from Ultomiris and Monjuvi to OMERS Life Sciences for $215 Million

Xencor, Inc. (NASDAQ:XNCR), a clinical-stage biopharmaceutical company developing engineered antibodies and cytokines for the treatment of cancer and autoimmune diseases, today announced the sale of portions of financial interests from Alexion Pharmaceuticals, Inc., on sales of Ultomiris (ravulizumab-cwvz) and from MorphoSys AG on sales of Monjuvi (U.S.)/Minjuvi (ex-U.S.) (tafasitamab-cxix) to OMERS, one of Canada’s largest defined benefit pension plans.

Under the agreements, Xencor has received a $215 million payment from OMERS. OMERS has acquired royalties due to Xencor on global Ultomiris sales from July 1, 2023 onward, with annual caps beginning in 2026, and the majority of a milestone payment earned this year. Xencor will also be eligible for a new Ultomiris sales-based milestone payment from OMERS. OMERS has also acquired royalties on global Monjuvi sales from July 1, 2023 until OMERS has received 1.3 times the value of the Monjuvi purchase price.

“Xencor’s modular XmAb Fc domains and technologies are the foundation that enables our diversified approach to building value. Our platforms have been fundamental to the creation of three XmAb-based medicines marketed by partners, generating royalty income that drives further innovations in protein engineering and supports the advancement of our internal pipeline,” said Bassil Dahiyat, Ph.D., president and chief executive officer at Xencor. “A strengthened financial position offers us additional flexibility to execute on our internal clinical development programs with the greatest potential for success, and importantly, we are retaining potential economic upside from the sales performance of Ultomiris and Monjuvi/Minjuvi.”

Ultomiris is a registered trademark of Alexion Pharmaceuticals, Inc. Monjuvi and Minjuvi are registered trademarks of MorphoSys AG.

About Xencor

Xencor is a clinical-stage biopharmaceutical company developing engineered antibodies and cytokines for the treatment of patients with cancer and autoimmune diseases. More than 20 candidates engineered with Xencor's XmAb technology are in clinical development, and three XmAb medicines are marketed by partners. Xencor's XmAb engineering technology enables small changes to a protein's structure that result in new mechanisms of therapeutic action. For more information, please visit www.xencor.com.