GILEAD, ROYALTY PHARMA BUY EMTRIVA ROYALTY RIGHTS

Biotechnology company Gilead Sciences Inc. (GILD.O: Quote, Profile, Research) on Monday said it will pay about $341 million to acquire 65 percent of the royalty rights to its HIV drug Emtriva, which are now owned by Emory University. The other 35 percent of the royalty stream will be bought by Royalty Pharma for about $184 million, making the deal worth $525 million. Under the agreement, Gilead will no longer owe Emory royalties on worldwide net sales of the product, but it will be obligated to make payments to Royalty Pharma based on future sales.

Reuters (http://today.reuters.com/business/newsArticle.aspx?type=health&storyID=nN18296062)