Separate payment from down payment and technical fee… Reflection of sales during the revenue recognition period Data discussed at JRC in August… Promoting expansion of diseases using RNA substitution enzymes
Additional funds were invested in collaboration between Rgnomics (476830) and Eli Lilly to develop a treatment for hereditary hearing loss. RGnomics announced on the 23rd that it has received its fourth joint research grant from Lilly.
This funding is for research performance costs paid separately from the down payment and staged technology fees (milestones), and is not included in the total contract size. In accounting, it is reflected in sales over the revenue recognition period.
The two companies signed a global research cooperation and licensing agreement in May last year. If Lilly exercises all options in the contract, the total size could exceed $1.3 billion, and additional royalties will be paid based on product sales after commercialization. The contract amount is confidential according to the agreement between both companies.
The basis for cooperation is Algnomics' RNA substitution enzyme platform, which corrects genetic information at the RNA level. Both companies are looking for candidate materials to apply this technology to hereditary hearing loss. Initial research will be conducted by Algnomics according to the agreed upon plan, and subsequent development and commercialization will be handled by Lilly.
Progress is checked at regular Joint Research Committee (JRC) meetings. The company explained that it confirmed Lilly researchers' positive opinion about the data at a meeting last August. This operating method was also introduced at a corporate information session in September.
Rgnomics plans to continue discovering candidates for hearing loss treatments while pursuing research and development and global partnerships to expand the scope of application of the RNA substitution enzyme platform to other diseases.
