Viridian Therapeutics Enters Royalty Financing Agreement with DRI Healthcare for up to $300 Million

Ropes & Gray advised Viridian Therapeutics in entering a royalty financing agreement with DRI Healthcare Acquisitions for up to $300 million and accelerated its timelines for the submission of the company’s veligrotug biologics license application and the topline clinical data readouts of its VRDN-003 Phase 3 clinical trial in patients with thyroid eye disease. The royalty financing was announced on October 20.

Under the agreement, Viridian will receive a $55 million upfront payment when the pact is executed, as well as up to $115 million in potential near term milestone payments linked to positive topline data in Phase 3 studies for VRDN-003 and veligrotug U.S. marketing approval. Proceeds are expected to fully fund the anticipated commercial launches of both veligrotug and VRDN-003.

The Ropes & Gray team was led by life sciences licensing partner Hannah England and private equity partner Chris Holt and included tax partner David Saltzman, capital markets partner Zach Blume, business restructuring partner Cristi Schwarzman, tax counsel Ariella Mutchler and life sciences licensing associate Nicole Rohr.