Heidelberg pharma borrow against TLX royalties, page-4

https://www.deraktionaer.de/artikel/pharma-biotech/heidelberg-pharma-mit-top-deal-gut-positioniert-um-die-entwicklung-unserer-pipeline-kandidaten-und-adc-technologien-zu-beschleunigen-und-auszubauen-20352055.html

THE SHAREHOLDER: Mr. Miller, you have entered into a financing agreement with HealthCare Royalty. What are the highlights of the deal?

Walter Miller: This form of financing is a novelty for us and we are very happy that the successful development of our former product candidate at Telix puts us in a position to benefit financially even before approval. In addition, financing without a dilutive effect is attractive for shareholders in the current market environment. According to the license agreement, we would only participate in the sales proportionately after successful market approval - the application for approval was submitted in December 2023 - and the product launch. We will now receive $25 million and a maximum of another $75 million after approval. We will receive a third, additional payment of $15 million if 2025 sales reach a defined threshold. A central component in this contract is that we were able to collect a cap on the royalty stream to our financial partner. This means that once a certain cumulative amount of license fees has been received by HealthCare Royalty, the majority of the license fees in excess flow back to Heidelberg Pharma. So we benefit now and later from global product sales.