Replies to post #247527 on Biotech Values

[DewDiligence]

From SGEN’s 10-K (p.5):

https://www.sec.gov/ix?doc=/Archives/edgar/data/0001060736/000106073623000009/sgen-20221231.htm

Outside the U.S., we have commercialization rights in all other countries in North and South America, and Astellas has commercialization rights in the rest of the world, including Europe, Asia, Australia and Africa.

However (ibid)…

The agreement is intended to provide that we and Astellas will effectively equally share in costs incurred and any profits realized in all of these markets. Cost and profit sharing in Canada, the United Kingdom, Germany, France, Spain and Italy are based on product sales and costs of commercialization. In the remaining markets, the commercializing party is responsible for bearing the costs and paying the other party a royalty rate applied to net sales of the product based on a rate intended to approximate an equal profit share for both parties.

So SGEN splits Padcev’s profits in the big-5 European countries, but Astellas owns the actual commercial rights in those countries, which is what I expect the EU antitrust regulators care about (minus the UK, of course).