Benzinga | Aug 2, 2021 10:30AM EDT

CymaBay Secures $100M Non-Dilutive Funding To Fund Seladelpar Development Program

* CymaBay Therapeutics Inc (NASDAQ:CBAY) has received $100 million in non-dilutive financing from Abingworth to fund the Phase 3 development program for seladelpar in primary biliary cholangitis (PBC).

* Under the terms of the transaction, CymaBay will receive up to $100 million of seladelpar development costs, of which $75 million will be received in three installments over approximately six months.

* CymaBay has an option to receive a further $25 million within approximately two months after completing enrollment in its Phase 3 RESPONSE trial.

* In exchange, CymaBay will make fixed payments spread over six years based on regulatory approval in the U.S. or the E.U. after the first such regulatory approval is obtained and pay fixed and capped sales milestones based on U.S. product sales.

* CymaBay is currently dosing patients in its Phase 3 RESPONSE clinical trial and its ASSURE open-label extension trial and other Phase 1 NDA-enabling clinical studies.

* Seladelpar is a first-in-class oral, selective PPAR? agonist shown to regulate critical metabolic and liver disease pathways.

* Price Action: CBAY shares are down 0.89% at $3.91 during the market session on the last check Monday.