Transaction Case Studies
Sell-side engagement leading to commercial royalty deal
- Flora Bioscience is a privately held diagnostics company focused on developing a women’s rapid yeast test, a proprietary, best-in-class lateral flow immunochromatographic diagnostic assay, specifically designed to identify and diagnose yeast-caused vulvovaginal candidiasis.
- The team has plans for both a POC and OTC version of the diagnostic test.
- Flora Bioscience has completed a pilot study confirming sensitivity and specificity vs. clinical diagnosis and is looking towards 510(k) submission.
- The company engaged Locust Walk to run a comprehensive sell-side process to generate strategic demand from diagnostic, women’s health, infectious disease and consumer healthcare companies.
- Collaborated with management team to update and tailor marketing materials, revenue projections and due diligence materials for strategic audiences
- Developed a deep and broad outreach list to ensure coverage of potential strategics across the diagnostic, women’s health, infectious disease and consumer healthcare spectrum
- Ran a comprehensive outreach process to ensure appropriate exposure for the transaction
- Conducted financial analysis and precedent transaction analysis to assist in the evaluation of potential transaction values
- Profiled and evaluated potential strategic partners to assist BOD and management team in selection efforts
- Integral in negotiating economic and non-economic terms for a commercial royalty deal
- Flora Bioscience successfully executed a commercial royalty deal with a partner that brings significant expertise in the sales and marketing of fungal diagnostics
- The strategic partner provides a vast clinical network from which to run additional clinical trials to support regulatory clearance as well as a KOL network key to generating credibility and support for the product upon launch
- The strategic partner also contributes a strong, existing sales network in both the POC and OTC setting
- The transaction provided (1) funding through regulatory clearance and (2) attractive royalty payments associated with the achievement of commercial milestones