Icagen and Pfizer complete first closing of R&D deal

RESEARCH TRIANGLE PARK, N.C. Icagen today announced the completion of a previously announced sale of 2,688,172 shares of common stock to Pfizer resulting in gross proceeds to Icagen of approximately $5 million.

As previously reported, Icagen also has an option to sell to Pfizer up to an additional $10 million of common stock at fair market value at the time of exercise, subject to certain terms and conditions, at any time during the 18 months following the execution of the purchase agreement. The purchase agreement was completed in conjunction with the recently announced formation of a collaboration between Icagen and Pfizer.

Pfizer will get exclusive worldwide rights to commercialize any of the pain medications that come out of the collaboration. In return, cash-strapped Icagen gets $38 million in funding over the next two years and could earn as much as $359 million in milestone payments for each product developed.