Vectura met the £9 million calendar year royalty cap on GSK’s Ellipta DPI products in 2016, a year earlier than predicted, the company said. The £9 million calendar year royalty cap is included in a legacy Skyepharma/GSK agreement that pays Vectura low single-digit royalties on net sales of Ellipta dry powder inhaler products.
The company said that it will record in its 2016 revenues £5.4 million of the capped amount, which is the portion that it has received since the effective date of its merger with Skyepharma.
For 2016, the company also recorded £7.3 million royalties from a separate legacy agreement with GSK. In July 2016, Vectura announced that it had been informed by GSK that the agreement would not be extended, and Vectura filed a patent infringement suit against GSK as a result.
Vectura CEO James Ward-Lilley said, “We are pleased to see continued momentum in Vectura’s recurring revenues driven by the strong performance of our partnered marketed respiratory products. The merger with Skyepharma has added to the group’s growing revenue streams and combined with anticipated pipeline and partnered program developments, Vectura is well positioned to capture a growing share of the evolving respiratory market.”
Read the Vectura press release.
