Welcome to our dedicated page for XOMA Royalty Corporation news (Ticker: XOMA), a resource for investors and traders seeking the latest updates and insights on XOMA Royalty Corporation stock.
About XOMA Royalty Corporation
XOMA Royalty Corporation (NASDAQ: XOMA) is a biotechnology royalty aggregator that plays a pivotal role in advancing the development of innovative therapeutic solutions. The company specializes in acquiring the potential future economics associated with pre-commercial and commercial therapeutic candidates that have been licensed to pharmaceutical or biotechnology companies. By doing so, XOMA provides non-dilutive, non-recourse funding to biotech firms, enabling them to accelerate the development of their internal drug pipelines or meet other corporate objectives.
Business Model and Operations
XOMA's business model is centered around acquiring royalty and milestone rights from therapeutic assets across all stages of development. These assets span a wide range of therapeutic areas, including oncology, rare diseases, women's health, and cardio-respiratory conditions. By focusing on royalty aggregation rather than direct drug development, XOMA minimizes operational risks while maximizing potential financial returns. The company’s portfolio includes rights to commercial products such as VABYSMO®, OJEMDA™, MIPLYFFA™, and DSUVIA®, as well as a pipeline of investigational compounds with significant market potential.
Industry Significance
Operating at the intersection of biotechnology and finance, XOMA serves as a critical enabler for biotech innovation. Its royalty aggregation model provides biotech companies with the financial flexibility to advance groundbreaking therapies without the burden of equity dilution or traditional debt. This unique approach not only supports the development of life-saving treatments but also allows XOMA to build a diversified portfolio of assets that generate sustainable cash flows over time.
Portfolio and Market Position
XOMA boasts an extensive and growing portfolio of over 70 assets, including both commercial and investigational therapies. The company's portfolio strategy emphasizes diversification across therapeutic areas and stages of development, thereby mitigating risks associated with the inherently unpredictable nature of drug development. Recent acquisitions, such as economic interests in seralutinib for pulmonary arterial hypertension and XACIATO™ for bacterial vaginosis, highlight XOMA's commitment to expanding its asset base while addressing unmet medical needs.
Competitive Differentiation
XOMA differentiates itself through its expertise in asset valuation, strategic capital deployment, and risk diversification. Unlike traditional biotech firms that focus on drug development, XOMA’s royalty aggregation model allows it to benefit from the success of multiple therapeutic candidates without bearing the direct costs and risks of R&D. This positions XOMA as a trusted financial partner for biotech companies and a unique investment opportunity within the biotech sector.
Challenges and Risk Management
While XOMA's business model reduces operational risks, it is not without challenges. The company’s revenue streams depend on the successful development, regulatory approval, and market adoption of its partnered assets. To mitigate these risks, XOMA employs a disciplined approach to asset selection, focusing on therapies with strong clinical and commercial potential. Its diversified portfolio further helps to balance the inherent uncertainties of the biotech industry.
Conclusion
In summary, XOMA Royalty Corporation represents a unique and innovative approach to supporting biotech innovation. By acquiring royalty and milestone rights, the company enables the development of life-saving therapies while building a diversified and sustainable revenue model. With its extensive portfolio, strategic focus, and financial expertise, XOMA continues to play a crucial role in advancing human health and shaping the future of biotechnology.
XOMA Royalty (NASDAQ: XOMA), a biotech royalty aggregator, has announced its Executive Team's upcoming participation in investor conferences scheduled for March 2025. The company will engage in one-on-one investor meetings during these events.
Presentations will be accessible through the investor relations section of XOMA's website (www.xoma.com). Each presentation will remain archived and available for replay on the site for a 90-day period following the respective events.
XOMA Royalty (NASDAQ: XOMA) has announced its participation in the upcoming Oppenheimer 35th Annual Healthcare Life Sciences Conference, scheduled for February 11-12, 2025. The virtual event will feature a fireside chat with CEO Owen Hughes and CIO Brad Sitko on February 11, 2025, at 3:20 PM ET.
The presentation will be accessible through a dedicated link and through XOMA's investor relations website section. Interested parties can access the replay of the presentation, which will remain archived on the company's website for 90 days following the event.
XOMA Royalty (Nasdaq: XOMA) has announced quarterly cash dividends for its preferred stockholders. The company will distribute $0.53906 per share to holders of 8.625% Series A Cumulative Perpetual Preferred Stock (XOMAP) and $0.52344 per depositary share to holders of 8.375% Series B Cumulative Perpetual Preferred Stock (XOMAO). Both dividends will be paid on January 15, 2025, to shareholders of record as of January 3, 2025.
XOMA Royalty has acquired Pulmokine for $20 million, gaining rights to seralutinib, a Phase 3 asset being developed for pulmonary arterial hypertension (PAH). The acquisition adds seralutinib as XOMA's seventh Phase 3 royalty asset, complementing its six commercial royalty assets. Seralutinib is being co-developed by Gossamer Bio and Chiesi Farmaceutici, with Phase 3 study results expected in Q4 2025. Through this acquisition, XOMA stands to receive up to $25 million in milestone payments and earn a low to mid-single digit royalty on commercial sales.
XOMA Royalty reported Q3 2024 financial results with total income of $7.2 million, including $6.5 million from commercial products. Cash receipts totaled $9.9 million in Q3 and $42.3 million for the first nine months of 2024. The company recorded a net loss of $17.2 million, primarily due to a $14.0 million non-cash impairment related to Agenus. Notable events include FDA approval of MIPLYFFA™ for Niemann-Pick disease Type C and acquisition of 50% economic interest in TWIST Bioscience's portfolio of 60-plus licensed early-stage assets. Cash position stood at $146.8 million as of September 30, 2024.
Twist Bioscience (NASDAQ: TWST) has entered into a royalty purchase agreement with XOMA Royalty (NASDAQ: XOMA). Under the agreement, XOMA Royalty will provide Twist with an upfront payment of $15 million in exchange for the right to receive half of the future potential milestone and royalty payments from Twist's existing antibody discovery and biopharma services collaborations.
Twist will retain all upfront, service, and other revenue from these collaborations, as well as full rights to future biopharma collaborations with milestone and royalty terms. The agreement does not apply to synbio, NGS, or data storage revenue. This deal aims to provide Twist with immediate capital to support continued innovation and profitable growth across the company.
XOMA Royalty announced that Zevra Therapeutics has received FDA approval for MIPLYFFA™ (arimoclomol), the first therapy approved for use in patients with Niemann-Pick Disease Type C (NPC). MIPLYFFA™ is approved for use in combination with miglustat to treat neurological manifestations of NPC in patients two years and older.
XOMA Royalty is entitled to receive a mid-single digit royalty on MIPLYFFA™ sales and up to $52.6 million in milestones. This approval marks MIPLYFFA™ as the sixth commercial asset in XOMA Royalty's portfolio. In June 2023, XOMA Royalty acquired these rights from LadRx for a $5 million upfront payment plus a share of future event-based milestones.
XOMA Royalty (Nasdaq: XOMA) has announced quarterly cash dividends for its Series A and Series B Cumulative Preferred Stock. Holders of the 8.625% Series A Cumulative Perpetual Preferred Stock (Nasdaq: XOMAP) will receive $0.53906 per share. Holders of depositary shares for the 8.375% Series B Cumulative Perpetual Preferred Stock (Nasdaq: XOMAO) will receive $0.52344 per depositary share. The dividends will be paid on or about October 15, 2024, to holders of record as of the close of business on October 3, 2024. This announcement demonstrates XOMA's commitment to providing returns to its preferred stockholders.
XOMA Royalty (NASDAQ: XOMA), a biotech royalty aggregator, has announced its participation in two major investor conferences in September 2024. The company's executive team, including CEO Owen Hughes and CIO Brad Sitko, will present corporate overviews at:
1. The H.C. Wainwright 26th Annual Global Investment Conference in New York, NY (September 9-11, 2024). Presentation scheduled for September 9 at 9:00 AM ET.
2. The 2024 Cantor Global Healthcare Conference in New York, NY (September 17-19, 2024). Presentation scheduled for September 17 at 2:30 PM ET.
Both presentations will be accessible via provided links and through XOMA's investor relations website. Replays will be available for 90 days after each event.
XOMA Royalty (NASDAQ: XOMA) reported its second quarter 2024 financial results and highlighted recent activities. Key points include:
- Cash receipts totaled $22.6 million in Q2 2024, including royalty income and milestones
- Expanded commercial royalty portfolio with acquisition of interests in XACIATO™ and two Phase 3 assets
- Completed acquisition of Kinnate Pharmaceuticals, adding potential royalty streams and over $9.5 million in capital
- FDA approved Day One's OJEMDA™, becoming XOMA's fifth commercial royalty
- Recorded total income and revenues of $11.1 million for Q2 2024
- Reported net income of $16.0 million for Q2 2024, compared to a net loss of $5.4 million in Q2 2023
- Cash and cash equivalents of $149.9 million as of June 30, 2024
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