Apellis secures $275 million upfront and potential $25 million in milestone payments from Sobi, enhancing financial strengths for kidney disease treatment.
Quiver AI Summary
Apellis Pharmaceuticals, Inc. has announced a capped royalty purchase agreement with Sobi® that will provide the company with $275 million upfront and potential milestone payments up to $25 million upon EMA approval of Aspaveli® for treating rare kidney diseases C3G and IC-MPGN. This non-dilutive financing strengthens Apellis' balance sheet, allowing it to maintain U.S. commercialization rights for systemic pegcetacoplan while receiving up to $300 million in total for 90% of future ex-U.S. royalties from Sobi. The agreement underscores both companies' confidence in the therapy's potential to improve outcomes for patients with these conditions, while Apellis plans to continue expanding its product reach and advancing its development pipeline. Aspaveli/EMPAVELI is already approved for paroxysmal nocturnal hemoglobinuria and is awaiting regulatory decisions in the U.S. and EU for C3G and IC-MPGN, which are serious kidney diseases affecting thousands of patients.
Potential Positives
- Apellis secures $275 million upfront, along with potential milestone payments of up to $25 million, strengthening its financial position without diluting existing shareholder equity.
- The transaction allows Apellis to retain full U.S. commercialization rights for systemic pegcetacoplan, offering significant control over its most important market.
- This partnership underscores shared confidence in the growth potential for Aspaveli/EMPAVELI in treating rare kidney diseases, enhancing the company's market credibility.
- Non-dilutive funding provides Apellis with operational flexibility to advance its pipeline while aiming for sustainable profitability.
Potential Negatives
- Apellis is giving up 90% of its future ex-U.S. royalties for Aspaveli, which significantly affects its revenue potential from international markets until performance caps are met.
- The company's reliance on a capped royalty purchase agreement may indicate challenges in securing traditional financing, which may raise concerns about long-term financial stability.
- The need for milestone payments tied to EMA approval suggests that Apellis is dependent on regulatory outcomes for future growth, introducing uncertainty in its revenue forecasts.
FAQ
What is the financial agreement between Apellis and Sobi?
Apellis will receive $275 million upfront and up to $25 million in milestone payments upon EMA approval for C3G and IC-MPGN.
What rights does Apellis retain for systemic pegcetacoplan?
Apellis retains full U.S. commercialization rights for systemic pegcetacoplan, marketed as EMPAVELI®.
What diseases is Aspaveli® targeting?
Aspaveli® is under review for C3 glomerulopathy (C3G) and primary immune complex membranoproliferative glomerulonephritis (IC-MPGN).
What benefits does the agreement provide for Apellis?
The agreement strengthens Apellis’ balance sheet and offers operational flexibility as they aim for sustainable profitability.
When is the expected decision from the EMA for Aspaveli?
An opinion by the EMA’s Committee for Medicinal Products for Human Use is expected before year-end 2025.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$APLS Insider Trading Activity
$APLS insiders have traded $APLS stock on the open market 44 times in the past 6 months. Of those trades, 0 have been purchases and 44 have been sales.
Here’s a breakdown of recent trading of $APLS stock by insiders over the last 6 months:
- CEDRIC FRANCOIS (Chief Executive Officer) has made 0 purchases and 4 sales selling 28,629 shares for an estimated $854,931.
- DAVID O. WATSON (General Counsel) has made 0 purchases and 6 sales selling 21,753 shares for an estimated $563,705.
- NUR NICHOLSON (Chief Technical Officer) has made 0 purchases and 4 sales selling 9,550 shares for an estimated $284,281.
- ADAM J. TOWNSEND (Chief Commercial Officer) has made 0 purchases and 4 sales selling 8,904 shares for an estimated $264,625.
- PASCAL DESCHATELETS (Chief Scientific Officer) has made 0 purchases and 4 sales selling 7,812 shares for an estimated $232,645.
- TIMOTHY EUGENE SULLIVAN (Chief Financial Officer) has made 0 purchases and 4 sales selling 7,534 shares for an estimated $224,185.
- CAROLINE BAUMAL (Chief Medical Officer) has made 0 purchases and 2 sales selling 4,669 shares for an estimated $150,727.
- KAREN LEWIS (Chief People Officer) has made 0 purchases and 4 sales selling 4,955 shares for an estimated $147,094.
- MARK JEFFREY DELONG (Chief Business & Strat Officer) has made 0 purchases and 5 sales selling 4,958 shares for an estimated $146,502.
- JAMES GEORGE CHOPAS (VP/Chief Accounting Officer) has made 0 purchases and 4 sales selling 2,777 shares for an estimated $81,782.
- JEFFREY EISELE (Chief Development Officer) has made 0 purchases and 3 sales selling 1,833 shares for an estimated $55,064.
To track insider transactions, check out Quiver Quantitative's insider trading dashboard.
$APLS Hedge Fund Activity
We have seen 141 institutional investors add shares of $APLS stock to their portfolio, and 168 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- OCTAGON CAPITAL ADVISORS LP removed 3,006,980 shares (-100.0%) from their portfolio in Q1 2025, for an estimated $65,762,652
- AQR CAPITAL MANAGEMENT LLC added 2,220,977 shares (+119.6%) to their portfolio in Q1 2025, for an estimated $48,572,766
- BANK OF AMERICA CORP /DE/ added 1,451,223 shares (+86.4%) to their portfolio in Q1 2025, for an estimated $31,738,247
- ORBIMED ADVISORS LLC added 1,432,300 shares (+inf%) to their portfolio in Q1 2025, for an estimated $31,324,401
- FIERA CAPITAL CORP removed 1,354,469 shares (-100.0%) from their portfolio in Q4 2024, for an estimated $43,221,105
- CIBC WORLD MARKETS CORP removed 1,285,300 shares (-100.0%) from their portfolio in Q1 2025, for an estimated $28,109,511
- POINT72 ASSET MANAGEMENT, L.P. removed 1,267,958 shares (-100.0%) from their portfolio in Q1 2025, for an estimated $27,730,241
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
- Apellis to receive $275 million upfront and up to $25 million in milestone payments upon EMA approval in C3G and IC-MPGN
- Non-dilutive financing further strengthens Apellis’ balance sheet
- Apellis retains full U.S. commercialization rights for systemic pegcetacoplan
- Transaction underscores shared confidence in the meaningful growth potential in rare kidney diseases
WALTHAM, Mass., July 01, 2025 (GLOBE NEWSWIRE) -- Apellis Pharmaceuticals, Inc. (Nasdaq: APLS) today announced a capped royalty purchase agreement with Sobi® under which Apellis will receive up to $300 million in exchange for 90% of Apellis’ future ex-U.S. royalties for Aspaveli® (systemic pegcetacoplan). Under the companies’ 2020 collaboration agreement, Apellis is eligible for tiered royalties on ex-U.S. sales of Aspaveli ranging from high teens to high twenties. Apellis retains exclusive commercialization rights for systemic pegcetacoplan in the United States, where the product is marketed as EMPAVELI®.
“This transaction reflects our shared conviction in the potential of Aspaveli/EMPAVELI to transform the treatment landscape for patients with rare diseases, including C3G and IC-MPGN,” said Timothy Sullivan, chief financial officer, Apellis. “Through our collaboration, Sobi has developed a deep understanding of Aspaveli/EMPAVELI’s potential to significantly improve patient outcomes and deliver long-term value as a rare disease franchise. Importantly, the non-dilutive funding from this transaction further strengthens our balance sheet and provides significant operational flexibility as we approach sustainable profitability, expand the reach of our approved products, and advance our innovative pipeline.”
Aspaveli/EMPAVELI is approved in the European Union, other countries globally, and the U.S. for the treatment of paroxysmal nocturnal hemoglobinuria (PNH), a rare blood disorder. It is currently under review in the European Union and the U.S. for the treatment of C3 glomerulopathy (C3G) and primary immune complex membranoproliferative glomerulonephritis (IC-MPGN), rare kidney diseases. An opinion by the European Medicines Agency’s (EMA) Committee for Medicinal Products for Human Use (CHMP) is expected before year-end. In the U.S., the Prescription Drug User Fee Act (PDUFA) action date is July 28, 2025.
“We are pleased to reaffirm our ongoing partnership with Apellis and share their strong belief in Aspaveli/EMPAVELI’s potential to deliver significant long-term growth,” said Guido Oelkers, chief executive officer, Sobi. “We are confident in our ability to reach patients with C3G and IC-MPGN globally following regulatory approvals, by leveraging our broad commercial footprint, deep rare disease expertise, and proven success in PNH.”
Transaction details
Under the terms of the agreement, Sobi will acquire 90% of Apellis’ ex-U.S. royalties for Aspaveli for $275 million in cash. Apellis will also be eligible for up to $25 million in milestone payments upon EMA approval of Aspaveli for C3G and IC-MPGN.
The agreement is subject to defined caps tied to Aspaveli’s performance. Sobi retains 90% of ex-U.S. royalties until these caps are achieved, after which 100% of all ex-U.S. royalties revert to Apellis.
About the Apellis and Sobi Collaboration
Apellis and Sobi have global co-development rights for systemic pegcetacoplan. Sobi has exclusive ex-U.S. commercialization rights for systemic pegcetacoplan, and its opt-in rights for future development programs are unchanged, exercisable at any time prior to commercialization. Apellis has exclusive U.S. commercialization rights for systemic pegcetacoplan and worldwide commercial rights for ophthalmological pegcetacoplan, including for geographic atrophy.
About C3 Glomerulopathy (C3G) and Primary Immune Complex Membranoproliferative Glomerulonephritis (IC-MPGN)
C3G and primary IC-MPGN are rare and debilitating kidney diseases that can lead to kidney failure. Excessive C3 deposits are a key marker of disease activity, which can lead to kidney inflammation, damage, and failure. Approximately 50% of people living with C3G and primary IC-MPGN suffer from kidney failure within five to 10 years of diagnosis, requiring a burdensome kidney transplant or lifelong dialysis.
1
Additionally, approximately 90% of patients who previously received a kidney transplant will experience disease recurrence.
2
The diseases are estimated to affect 5,000 people in the United States and up to 8,000 in Europe.
3
About Apellis
Apellis Pharmaceuticals, Inc. is a global biopharmaceutical company that combines courageous science and compassion to develop life-changing therapies for some of the most challenging diseases patients face. We ushered in the first new class of complement medicine in 15 years and now have two approved medicines targeting C3. These include the first-ever therapy for geographic atrophy, a leading cause of blindness around the world. We believe we have only begun to unlock the potential of targeting C3 across many serious diseases. For more information, please visit
http://apellis.com
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LinkedIn
.
Apellis Forward-Looking Statement
Statements in this press release about future expectations, plans and prospects, as well as any other statements regarding matters that are not historical facts, may constitute “forward-looking statements” within the meaning of The Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, statements regarding regulatory approval for the treatment of patients with C3G and IC-MPGN in the United States and other jurisdictions and commercial growth or prospects for systemic pegcetacoplan for those indications in the United States and other jurisdictions. The words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “should,” “target,” “will,” “would” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including whether systemic pegcetacoplan will receive approval for those indications from the FDA or equivalent foreign regulatory agencies when expected or at all; whether the commercialization of systemic pegcetacoplan for C3G or IC-MPGN in the United States or other jurisdictions will provide significant additional revenues or allow the Company to achieve profitability; and any other factors discussed in the “Risk Factors” section of Apellis’ Annual Report on Form 10-K with the Securities and Exchange Commission on February 28, 2025 and the risks described in other filings that Apellis may make with the Securities and Exchange Commission. Any forward-looking statements contained in this press release speak only as of the date hereof, and Apellis specifically disclaims any obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise.
Contacts:
Media
Tracy Vineis
[email protected]
617.420.4839
Investors
Neil Carnahan, CFA
[email protected]
References
1. C3 glomerulopathy. National Institute of Health, Genetics Home Reference.
https://ghr.nlm.nih.gov/condition/c3-glomerulopathy#resources
. Accessed November 21, 2019.
2. Tarragón, B, et al. C3 Glomerulopathy Recurs Early after Kidney Transplantation in Serial Biopsies Performed within the First 2 Years after Transplantation. Clinical Journal of the American Society of Nephrology. August 2024; 19(8)1005-1015
.
doi: 10.2215/CJN.0000000000000474.
3. Data on file using literature consensus.
