SEOUL, Nov. 3 (Yonhap) -- LG Chem Ltd., South Korea's leading chemical company, said Tuesday it has amended an exclusive license agreement with the U.S.-based Rhythm Pharmaceuticals Inc. for the development and commercialization of an obesity treatment.
The amendment covers Bivamelagon, an investigational oral small-molecule melanocortin-4 receptor (MC4R) agonist, increasing the total contract value from US$305 million to US$855 million, the company said in a press release.
LG Chem has already received US$100 million from Rhythm, with an additional US$350 million in upfront payments scheduled through 2029, it said.
"MC4R agonism has been shown to achieve a profound impact on patients living with hyperphagia and severe obesity associated with rare MC4R pathway diseases," Rhythm Chief Executive Officer (CEO) David Meeker said in a separate press release.
"Our commitment to this program reflects our confidence in bivamelagon's potential to deliver meaningful benefits for patients and create substantial long-term value for shareholders."
LG Chem aims to accelerate patient access to an innovative treatment for rare obesity-related disorders by expanding global development efforts, Son Jee-woong, president of LG Chem's Life Sciences Company, said.
This undated file photo, provided by LG Chem Ltd., shows a researcher working at the company's R&D facility. (PHOTO NOT FOR SALE) (Yonhap)
kyongae.choi@yna.co.kr
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Source: Yonhap News · Choi Kyong-ae
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