June 30, 2022, 8:42 a.m. EDT

Blueprint inks deal with Sixth Street, Royalty Pharma worth up to $1.2 billion

Shares of Blueprint Medicines Corp. (NAS:BPMC) gained 3.3% in premarket trading on Thursday after the company announced a deal with investment firm Sixth Street and Royalty Pharma (NAS:RPRX) , which acquires pharmaceutical royalties, worth up to $1.2 billion. Sixth Street will pay $250 million upfront for future royalties for two products, up to $400 million in a senior secured credit facility, and $260 million in a potential credit facility to support any buy-side business opportunities. Royalty Pharma will pay $175 million for royalties for some sales of cancer-drug Gavreto, with up to $165 million in potential milestones. Blueprint's stock is down 51.2% this year, while the broader S&P 500 (S&P:SPX) has declined 19.9%.

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