Royalty Pharma's Pelacarsen Fails Phase 3 Trial; Focus Shifts to Spinraza Royalties
Royalty Pharma (NASDAQ:RPRX) announced that pelacarsen, a drug licensed from Ionis Pharmaceuticals and tested by Novartis AG (NYSE:NVS), failed its primary endpoint in the Lp(a)HORIZON Phase 3 cardiovascular-outcomes trial. The study involved over 8,000 patients with elevated lipoprotein(a). While pelacarsen reduced Lp(a) levels, it did not significantly reduce major adverse cardiovascular events compared to placebo. In January 2023, Royalty Pharma provided $500 million in funding for Ionis Pharmaceuticals' programs. The deal included $150 million tied to pelacarsen royalties and $350 million linked to Spinraza royalties. With the failure of pelacarsen, attention has shifted toward recovering funds through its stake in Spinraza royalties. Royalty Pharma expects full recovery of its investment via Spinraza royalties once total payments reach $550 million—1.1 times the original funding—and aims to maintain a 2030 target of at least $4.7 billion in Portfolio Receipts, which includes attributable royalty and milestone income.
Topics: biotech ionis_pharmaceuticals novartis pelacarsen royalty_pharma spinraza