Arrowhead Presses Sarepta for $100 Million Milestone Payment After Trial Goal

Arrowhead Pharmaceuticals said Sarepta Therapeutics owes it a $100 million milestone payment after the partners met the first enrolment target in a Phase 1/2 trial of ARO-DM1, an RNA-interference therapy for type 1 myotonic dystrophy. Arrowhead expects to receive the cash within 60 days under the terms of the licensing and collaboration agreement signed last year. A second enrolment threshold, expected to be reached by the end of 2025, could trigger a further $200 million payment to Arrowhead. The companies’ 2024 pact gave Sarepta access to several Arrowhead RNA-targeting programs in rare genetic diseases. The demanded payment comes as Sarepta faces financial pressure after it halted sales of its biggest drug last week because of safety concerns. Sarepta shares rose about 9% on Monday, while Arrowhead gained roughly 3%.