Sunesis Pharmaceuticals earned a milestone payment from SARcode for progress made by SARcode in the preclinical development of a novel LFA-1 inhibitor candidate.
The milestone payment, a $375,000 convertible note, increases Sunesis' potential ownership of SARcode and was triggered by SARcode's selection of an LFA-1 inhibitor development candidate and the commencement of GLP toxicology studies. SARcode is initially seeking to develop the small molecule LFA-1 candidate for T-cell mediated ophthalmic diseases.
In January, Sunesis announced the out-licensing of worldwide rights to patents and know-how related to its LFA-1 inhibitor program to SARcode in exchange for license fees, convertible notes, milestone payments, as well as potential royalty payments.
The next payable milestone, if earned, will be for the filing of an IND application. Sunesis had previously discontinued the LFA-1 inhibitor program, which is outside of the company's strategic focus on discovering and developing novel small molecule therapeutics to treat cancer.