Biotech Values

[DewDiligence]

PFE drops co-promotion of EXAS’ Cologuard:

https://www.sec.gov/ix?doc=/Archives/edgar/data/0001124140/000112414021000101/exas-20211129.htm

On November 29, 2021, Exact Sciences Corporation (the “Company”) and Pfizer Inc. (“Pfizer”) entered into an amendment (the “Amendment”) to the Amended & Restated Cologuard Promotion Agreement effective October 6, 2020, by and between the Company and Pfizer (the “Promotion Agreement”).

The Amendment provides that after November 30, 2021, Pfizer will no longer promote the Company’s Cologuard colorectal cancer screening test (the “Product”) to health care providers. As reported on a Form 8-K filed by the Company on September 15, 2021, the Company recently hired approximately 400 former Pfizer sales representatives to promote the Product to health care providers.

The Amendment provides that the Company will pay Pfizer a total of $35,900,000 in three installments during the second, third, and fourth quarters of 2022. The Amendment eliminates the Company’s obligation to pay Pfizer royalties or other fees except for certain media fees, advertising fees, and any detail fees owed to Pfizer for promoting the Product prior to November 30, 2021.

This 8-K was filed two days ago.