Benzinga | Jun 30, 2021 04:29PM EDT

NeuroMetrix Entered Termination Agreement With GSK Consumer Healthcare S.A. In Which Co. Terminated Development And Services Agreement For Quell; GASK Transferred To NeuroMetrix All Rights, Title And Interest In Quell Related To Markets Outside US

On June 30, 2021 NeuroMetrix, Inc. (the "Company" or "NeuroMetrix") entered into a Termination Agreement with GSK Consumer Healthcare S.A. (formerly known as Novartis Consumer Health S.A.), a societe' anonyme organized under the laws of Switzerland ("GSK"), pursuant to which the parties terminated the Development and Services Agreement dated January 12, 2018, as amended on December 6, 2018, and related agreements which provided GSK with license and intellectual property rights for the development, regulatory approval and commercialization of the Quell technology for markets outside the United States. Under terms of the Termination Agreement, GSK transferred back to NeuroMetrix all of GSK's rights, title and interest in the Quell technology related to markets outside the United States, including technology improvements and intellectual property. NeuroMetrix agreed to make royalty payments to GSK ranging between 5% and 8% for a ten-year period based on net sales of Quell devices that are available to consumers for purchase without a prescription from a licensed medical professional in markets outside the United States.On June 30, 2021 NeuroMetrix, Inc. (the "Company" or "NeuroMetrix") entered into a Termination Agreement with GSK Consumer Healthcare S.A. (formerly known as Novartis Consumer Health S.A.), a societe' anonyme organized under the laws of Switzerland ("GSK"), pursuant to which the parties terminated the Development and Services Agreement dated January 12, 2018, as amended on December 6, 2018, and related agreements which provided GSK with license and intellectual property rights for the development, regulatory approval and commercialization of the Quell technology for markets outside the United States. Under terms of the Termination Agreement, GSK transferred back to NeuroMetrix all of GSK's rights, title and interest in the Quell technology related to markets outside the United States, including technology improvements and intellectual property. NeuroMetrix agreed to make royalty payments to GSK ranging between 5% and 8% for a ten-year period based on net sales of Quell devices that are available to consumers for purchase without a prescription from a licensed medical professional in markets outside the United States.

A copy of the Termination Agreement will be filed as an exhibit to the Company's Quarterly Report on Form 10Q for the quarter ended June 30, 2021.