Transaction Case Studies

Multi-track engagement leading to license and equity investment​

Situation Assessment

• Corsair Pharma is a privately held biopharmaceutical company operating as a portfolio company of Velocity Pharmaceutical Development​
• Corsair is focused on the development of novel prodrugs of treprostinil for PAH​
• Corsair’s lead development is focused on transdermal treprostinil compounds, but the company has a broad portfolio of IP covering prodrugs for several modalities​
• Corsair engaged Locust Walk to conduct a commercial assessment for its treprostinil patch and evaluate strategic and financing opportunities​

Key Activities

• Locust Walk engaged in a multi-track process that parallel processed strategic partnership along with private financing opportunities to allow Corsair to fund development of its treprostinil patch​
• Conducted a comprehensive commercial assessment and valuation focusing on the opportunity for a transdermal treprostinil patch​
• Ran a comprehensive process to identify potential development/commercial partners with strong capabilities in the orphan and/or cardiopulmonary space​
• Ran a comprehensive process to identify potential private investors including both institutional and strategic investors ​
• Integral in negotiating economic and non-economic terms and provided guidance to Corsair throughout the transaction process​

Successful Outcome

• Corsair successfully licensed its IP portfolio of treprostinil prodrugs to United Therapeutics, a leader in the PAH space, for an undisclosed upfront fee and royalties payments due for any United product that would read upon Corsair’s IP​
• Corsair retained rights for transdermal prodrugs and received a cross-license from United Therapeutics’ IP portfolio to allow for freedom to operate and develop its treprostinil patch​
• In addition, United Therapeutics made a minority equity investment in Corsair and was granted an option to acquire the company; capital raise was sufficient to fund development through key milestones​

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