10-9 – BWH spinout and PIF portfolio company, Adheron, has been acquired by Roch. Adheron is developing antibodies (currently in Phase I) targeting cadherin-11 for treatment of rheumatoid arthritis and other indications, and is based on technology developed by Michael Brenner, MD at BWH. Roche will be a great partner to move the product forward into Phase II trials and hopefully to market. The total deal value is $580 million, with $105 million paid on closing.
The initial payout will be approximately $5.2 million for PIF (for our $1.3 million investment) and $473K for BWH from the license (subject to patent policy splits). The total payout over time could reach $32 million for PIF and $5 million for BWH if all milestones are reached, with the next major milestone being a positive Phase II trial.