BELLUS Health Begins Sale of Equity Interest in FB Health

BELLUS Health (TSX:BLU) announced the sale of its equity interest in FB Health.
As quoted in the press release:

BELLUS Health acquired its interest in FB Health in 2013 when the Company granted FB Health a license for BLU-8499, a drug candidate for the treatment of Alzheimer’s disease.
FB Health shareholders entered into a share purchase agreement with NuPharm Italy S.p.A. (NPI), pursuant to which NPI will acquire all issued and outstanding shares of FB Health. NPI / FB Health will be new members of the Invent Farma (Spain) / neuraxpharm (Germany) Group.
For its share, BELLUS Health will receive a potential total consideration of approximately CA$2.5 million, consisting of an upfront payment of CA$1.7 million at closing and a potential revenue-based milestone payment of up to CA$0.8 million, which will be determined one year after the closing of the transaction.
“In addition to supporting the development of BLU-5937, our lead drug candidate for the treatment of chronic cough, the non-dilutive proceeds from this transaction are expected to extend our cash runway to the first quarter of 2019,” said Roberto Bellini, President and Chief Executive Officer of BELLUS Health.

Click here to read the full press release.

Source: www.newswire.ca