I-Mab (NASDAQ:IMAB) said an arbitration tribunal awarded no damages to Tracon Pharmaceuticals (NASDAQ:TCON) related to a collaboration agreement but the company would have to pay part of Tracon's legal fees of ~$13.5M.
Chinese biotech I-Mab noted that the arbitration was relating to 1) a collaboration agreement to co-develop I-Mab's proprietary CD73 antibody uliledlimab (TJD5) (TJD5 agreement); and 2) a collaboration agreement to potentially co-develop I-Mab's bi-specific antibodies (BsAb agreement).
I-Mab said the tribunal determined that the TJD5 agreement was terminated for a pre-agreed termination fee of $9M plus interest payable by I-Mab under the original deal, and therefore Tracon has no rights to share any future economics with I-Mab.
The arbitration award denied Tracon's damages claim of over $200M for any breach under the BsAb agreement and awarded no damages to Tracon, I-Mab added.
The tribunal also confirmed the termination of the BsAb agreement, according to the company.
However, based on the arbitration award, I-Mab will bear a portion of Tracon's legal fees and costs of about $13.5M.
"This is an important victory for I-Mab and its shareholders on multiple levels, both from a legal and business standpoint, as I-Mab successfully protected and preserved its shareholder's value and I-Mab's rights of its proprietary CD73 antibody, uliledlimab, and bi-specific antibody assets," said Andrew Zhu, president and acting CEO, I-Mab.
I-Mab intends to accelerate development and global partnership for uliledlimab and bi-specific antibody assets, which have the potential to create value for it as soon as early 2024.
TCON -15.73% to $1.50 premarket April 25

This data comes from MediaIntel.Asia's Media Intelligence and Media Monitoring Platform.