UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

(Mark One)


☒	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

FOR THE QUARTERLY PERIOD ENDED SEPTEMBER 30, 2023


☐	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

FOR THE TRANSITION PERIOD FROM TO

Commission File Number 0-29889

Rigel Pharmaceuticals, Inc.

(Exact name of registrant as specified in its charter)



Delaware		94-3248524
(State or other jurisdiction of incorporation or		(I.R.S. Employer Identification No.)
organization)



611 Gateway Boulevard, Suite 900,
South San Francisco, CA		94080
(Address of principal executive offices)		(Zip Code)

(650) 624-1100

(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:



Title of each class:	Trading Symbol	Name of each exchange on which registered:
Common Stock, par value $0.001 per share	RIGL	The Nasdaq Stock Market LLC

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically, every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.


Large accelerated filer ☐				Accelerated filer ☒
Non-accelerated filer ☐				Smaller reporting company ☐
Emerging Growth Company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

As of November 2, 2023, there were 174,369,503 shares of the registrant’s Common Stock outstanding.

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RIGEL PHARMACEUTICALS, INC.

QUARTERLY REPORT ON FORM 10-Q

FOR THE QUARTERLY PERIOD ENDED SEPTEMBER 30, 2023

INDEX


		Page
PART I	FINANCIAL INFORMATION	3
Item 1.	Financial Statements	3
	Condensed Balance Sheets — September 30, 2023 (Unaudited) and December 31, 2022	3
	Condensed Statements of Operations (Unaudited) — three and nine months ended September 30, 2023 and 2022	4
	Condensed Statements of Comprehensive Loss (Unaudited) — three and nine months ended September 30, 2023 and 2022	5
	Condensed Statements of Stockholders’ (Deficit) Equity (Unaudited) — three and nine months ended September 30, 2023 and 2022	6
	Condensed Statements of Cash Flows (Unaudited) — nine months ended September 30, 2023 and 2022	7
	Notes to Condensed Financial Statements (Unaudited)	8
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	22
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	46
Item 4.	Controls and Procedures	46
PART II	OTHER INFORMATION	46
Item 1.	Legal Proceedings	46
Item 1A.	Risk Factors	47
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	92
Item 3.	Defaults Upon Senior Securities	92
Item 4.	Mine Safety Disclosures	92
Item 5.	Other Information	93
Item 6.	Exhibits	93

Signatures		95

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PART I. FINANCIAL INFORMATION

Item 1.Financial Statements

RIGEL PHARMACEUTICALS, INC.

CONDENSED BALANCE SHEETS

(In thousands)


	As of
	September 30, 2023		December 31, 2022 (1)
	(unaudited)
Assets
Current assets:
Cash and cash equivalents	$	45,414	$	24,459
Short-term investments		16,937		33,747
Accounts receivable, net		23,546		40,320
Inventories		6,112		9,118
Prepaid and other current assets		3,015		8,259
Total current assets		95,024		115,903
Property and equipment, net		190		857
Intangible asset, net		14,146		14,949
Operating lease right-of-use assets		1,008		1,930
Other assets		4,956		640
Total assets	$	115,324	$	134,279
Liabilities and stockholders’ deficit
Current liabilities:
Accounts payable	$	7,999	$	22,508
Accrued compensation		8,093		8,866
Accrued research and development		5,754		7,708
Revenue reserves and refund liability		14,543		12,145
Other accrued liabilities		5,030		6,485
Lease liabilities, current portion		673		1,133
Deferred revenue		1,355		1,369
Other long-term liabilities, current portion		4,826		4,997
Total current liabilities		48,273		65,211
Long-term portion of lease liabilities		466		972
Loans payable, net of discount		59,659		39,448
Other long-term liabilities		38,760		42,264
Total liabilities		147,158		147,895

Commitments

Stockholders’ deficit:
Preferred stock		—		—
Common stock		175		174
Additional paid-in capital		1,376,293		1,368,822
Accumulated other comprehensive loss		(15)		(153)
Accumulated deficit		(1,408,287)		(1,382,459)
Total stockholders’ deficit		(31,834)		(13,616)
Total liabilities and stockholders’ deficit	$	115,324	$	134,279

(1)	The balance sheet as of December 31, 2022 has been derived from the audited financial statements included in Rigel’s Annual Report on Form 10-K for the year ended December 31, 2022 filed with the Securities and Exchange Commission (SEC) on March 7, 2023.

See Accompanying Notes to Condensed Financial Statements

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RIGEL PHARMACEUTICALS, INC.

CONDENSED STATEMENTS OF OPERATIONS

(In thousands, except per share amounts)

(unaudited)


	Three Months Ended September 30,				Nine Months Ended September 30,
	2023		2022		2023		2022
Revenues:
Product sales, net	$	27,129	$	19,188	$	74,755	$	53,935
Contract revenues from collaborations		1,005		722		5,335		12,529
Government contract		—		2,500		1,000		2,500
Total revenues		28,134		22,410		81,090		68,964
Costs and expenses:
Cost of product sales		1,268		250		3,320		1,407
Research and development		6,475		14,666		21,336		44,907
Selling, general and administrative		24,856		25,897		78,891		80,279
Total costs and expenses		32,599		40,813		103,547		126,593
Loss from operations		(4,465)		(18,403)		(22,457)		(57,629)
Interest income		672		192		1,594		255
Interest expense		(1,899)		(826)		(4,965)		(2,600)
Net loss	$	(5,692)	$	(19,037)	$	(25,828)	$	(59,974)

Net loss per share, basic and diluted	$	(0.03)	$	(0.11)	$	(0.15)	$	(0.35)
Weighted average shares used in computing net loss per share, basic and diluted		174,364		172,836		173,897		172,256

See Accompanying Notes to Condensed Financial Statements

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RIGEL PHARMACEUTICALS, INC.

CONDENSED STATEMENTS OF COMPREHENSIVE LOSS

(In thousands)

(unaudited)


	Three Months Ended September 30,				Nine Months Ended September 30,
	2023		2022		2023		2022
Net loss	$	(5,692)	$	(19,037)	$	(25,828)	$	(59,974)
Other comprehensive gain (loss):
Net unrealized gain (loss) on short-term investments		10		152		138		(184)
Comprehensive loss	$	(5,682)	$	(18,885)	$	(25,690)	$	(60,158)

See Accompanying Notes to Condensed Financial Statements

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RIGEL PHARMACEUTICALS, INC.

CONDENSED STATEMENTS OF STOCKHOLDERS’ (DEFICIT) EQUITY

(In thousands, except share amounts)

(unaudited)



				Additional		Accumulated Other				Total
	Common Stock			Paid-in		Comprehensive		Accumulated		Stockholders’
	Shares	Amount		Capital		Loss		Deficit		Deficit
Balance as of January 1, 2023	173,398,645	$	174	$	1,368,822	$	(153)	$	(1,382,459)	$	(13,616)
Net loss	—		—		—		—		(13,536)		(13,536)
Net change in unrealized gain on short-term investments	—		—		—		126		—		126
Issuance of common stock upon exercise of options	952		—		1		—		—		1
Issuance of common stock upon vesting of restricted stock units (RSUs)	266,256		—		—		—		—		—
Stock-based compensation expense	—		—		2,768		—		—		2,768
Balance as of March 31, 2023	173,665,853		174		1,371,591		(27)		(1,395,995)		(24,257)
Net loss	—		—		—		—		(6,600)		(6,600)
Net change in unrealized gain on short-term investments	—		—		—		2		—		2
Issuance of common stock upon exercise of options and participation in Purchase Plan	523,795		1		553		—		—		554
Issuance of common stock upon vesting of RSUs	168,750		—		—		—		—		—
Stock-based compensation expense	—		—		2,186		—		—		2,186
Balance as of June 30, 2023	174,358,398	$	175	$	1,374,330	$	(25)	$	(1,402,595)	$	(28,115)
Net loss	—		—		—		—		(5,692)		(5,692)
Net change in unrealized gain on short-term investments	—		—		—		10		—		10
Issuance of common stock upon exercise of options	8,830		—		8		—		—		8
Stock-based compensation expense	—		—		1,955		—		—		1,955
Balance as of September 30, 2023	174,367,228	$	175	$	1,376,293	$	(15)	$	(1,408,287)	$	(31,834)



				Additional		Accumulated Other				Total
	Common Stock			Paid-in		Comprehensive		Accumulated		Stockholders’
	Shares	Amount		Capital		Loss		Deficit		Equity (Deficit)
Balance as of January 1, 2022	171,602,226	$	172	$	1,354,190	$	(102)	$	(1,323,886)	$	30,374
Net loss	—		—		—		—		(27,445)		(27,445)
Net unrealized loss on short-term investments	—		—		—		(314)		—		(314)
Issuance of common stock upon exercise of options	420,521		—		940		—		—		940
Issuance of common stock upon vesting of RSUs	22,500		—		—		—		—		—
Stock-based compensation expense	—		—		3,243		—		—		3,243
Balance as of March 31, 2022	172,045,247		172		1,358,373		(416)		(1,351,331)		6,798
Net loss	—		—		—		—		(13,492)		(13,492)
Net unrealized loss on short-term investments	—		—		—		(22)		—		(22)
Issuance of common stock upon exercise of options and participation in Purchase Plan	609,839		1		598		—		—		599
Issuance of common stock upon vesting of RSUs	181,250		—		—		—		—		—
Stock-based compensation expense	—		—		2,440		—		—		2,440
Balance as of June 30, 2022	172,836,336	$	173	$	1,361,411	$	(438)	$	(1,364,823)	$	(3,677)
Net loss	—		—		—		—		(19,037)		(19,037)
Net unrealized gain on short-term investments	—		—		—		152		—		152
Stock-based compensation expense	—		—		2,728		—		—		2,728
Balance as of September 30, 2022	172,836,336	$	173	$	1,364,139	$	(286)	$	(1,383,860)	$	(19,834)

See Accompanying Notes to Condensed Financial Statements

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RIGEL PHARMACEUTICALS, INC.

CONDENSED STATEMENTS OF CASH FLOWS

(In thousands)

(unaudited)


	Nine Months Ended September 30,
	2023		2022
Operating activities
Net loss	$	(25,828)	$	(59,974)
Adjustments to reconcile net loss to net cash used in operating activities:
Stock-based compensation expense		6,873		8,305
Loss (gain) on sale and disposal of fixed assets		376		(465)
Depreciation and amortization		945		714
Non-cash interest expense		—		682
Net amortization and accretion of discount on short-term investments and term loan		(219)		116
Changes in assets and liabilities:
Accounts receivable, net		16,774		(53)
Inventories		(1,359)		(394)
Prepaid and other current assets		5,244		1,255
Other assets		85		490
Right-of-use assets		922		6,712
Accounts payable		491		(999)
Accrued compensation		(773)		(1,917)
Accrued research and development		(1,954)		(2,810)
Revenue reserves and refund liability		2,398		3,274
Other accrued liabilities		(1,455)		1,637
Lease liability		(966)		(7,337)
Deferred revenue		(14)		(1,227)
Other current and long-term liabilities		(1,043)		142
Net cash provided by (used in) operating activities		497		(51,849)
Investing activities
Maturities of short-term investments		35,650		80,062
Purchases of short-term investments		(18,222)		(26,049)
Purchases of intangible asset		(15,000)		—
Proceeds from sale of property and equipment		149		543
Purchases of property and equipment		—		(377)
Net cash provided by investing activities		2,577		54,179
Financing activities
Net proceeds from term loan financing		19,950		19,542
Net proceeds from issuances of common stock upon exercise of options and participation in Purchase Plan		563		1,539
Cost share payments to a collaboration partner		(2,632)		(12,435)
Net cash provided by financing activities		17,881		8,646
Net increase in cash and cash equivalents		20,955		10,976
Cash and cash equivalents at beginning of period		24,459		18,890
Cash and cash equivalents at end of period	$	45,414	$	29,866
Supplemental disclosure of cash flow information
Interest paid	$	4,167	$	1,549

See Accompanying Notes to Condensed Financial Statements

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Rigel Pharmaceuticals, Inc.

Notes to Condensed Financial Statements

(unaudited)

In this report, “Rigel,” “we,” “us” and “our” refer to Rigel Pharmaceuticals, Inc.

1.	Organization and Summary of Significant Accounting Policies

Description of Business

We are a biotechnology company dedicated to discovering, developing and providing novel therapies that significantly improve the lives of patients with hematologic disorders and cancer. We focus on products that address signaling pathways that are critical to disease mechanisms.

Our first product approved by the US Food and Drug Administration (FDA) is TAVALISSE^® (fostamatinib disodium hexahydrate) tablets, the only approved oral spleen tyrosine kinase (SYK) inhibitor for the treatment of adult patients with chronic immune thrombocytopenia (ITP) who have had an insufficient response to a previous treatment. The product is also commercially available in Europe and the United Kingdom (UK) (as TAVLESSE), and in Canada, Israel and Japan (as TAVALISSE) for the treatment of chronic ITP in adult patients.

Our second FDA approved product is REZLIDHIA^®(olutasidenib) capsules for the treatment of adult patients with relapsed or refractory (R/R) acute myeloid leukemia (AML) with a susceptible isocitrate dehydrogenase-1 (IDH1) mutation as detected by an FDA-approved test. We began our commercialization of REZLIDHIA in December 2022. We in-licensed olutasidenib from Forma Therapeutics, Inc. (now Novo Nordisk), with exclusive, worldwide rights for its development, manufacturing and commercialization.

We continue to advance the development of our interleukin receptor-associated kinase (IRAK) 1/4 inhibitor program, in an open-label, Phase 1b trial to determine the tolerability and preliminary efficacy of the drug in patients with lower-risk myelodysplastic syndrome (MDS) who are refractory or resistant to prior therapies.

We have a receptor-interacting serine/threonine-protein kinase 1 (RIPK1) inhibitor program in clinical development with our partner Eli Lilly and Company (Lilly). We also have product candidates in clinical development with partners BerGenBio ASA (BerGenBio) and Daiichi Sankyo (Daiichi).

Basis of Presentation

Our accompanying unaudited condensed financial statements have been prepared in accordance with United States generally accepted accounting principles (US GAAP), for interim financial information and pursuant to the instructions to Form 10-Q and Article 10 of Regulation S-X of the Securities Act of 1933, as amended (Securities Act). Accordingly, they do not include all the information and notes required by US GAAP for complete financial statements. These unaudited condensed financial statements include only normal and recurring adjustments that we believe are necessary to fairly state our financial position and the results of our operations and cash flows. Interim-period results are not necessarily indicative of results of operations or cash flows for a full-year or any subsequent interim period. The balance sheet as of December 31, 2022 has been derived from audited financial statements at that date but does not include all disclosures required by US GAAP for complete financial statements. Because certain disclosures required by US GAAP for complete financial statements are not included herein, these interim unaudited condensed financial statements and the notes accompanying them should be read in conjunction with our audited financial statements and the notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2022 filed with the SEC on March 7, 2023.

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Use of Estimates

The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. We base our estimates on historical experience and on various other assumptions that we believe to be reasonable under the circumstances. Actual results could differ from these estimates.

Significant Accounting Policies

Our significant accounting policies are described in “Note 1 – Description of Business and Summary of Significant Accounting Policies” to our “Notes to Financial Statements” contained in “Part II, Item 8, Financial Statements and Supplementary Data” of our Annual Report on Form 10-K for the year ended December 31, 2022. There have been no material changes to these accounting policies.

Liquidity

As of September 30, 2023, we had approximately $62.4 million in cash, cash equivalents and short-term investments. Since inception, we have financed our operations primarily through sales of equity securities, debt financing, contract payments under our collaboration agreements and from product sales.

Based on our current operating plan, we believe that our existing cash, cash equivalents, and short-term investments will be sufficient to fund our expenses and capital expenditure requirements for at least the next 12 months from the date of issuance of this Form 10-Q.

Recently Issued Accounting Standards

Recently issued accounting guidance is either not applicable or did not have, or is not expected to have, a material impact to us.

2.	Net Loss Per Share

Basic net loss per share is computed by dividing net loss by the weighted-average number of shares of common stock outstanding during the period. Diluted net loss per share is computed by dividing net loss by the weighted-average number of shares of common stock outstanding during the period and the number of additional shares of common stock that would have been outstanding if potentially dilutive securities had been issued. Potentially dilutive securities include stock options, RSUs and shares issuable under our Employee Stock Purchase Plan (Purchase Plan). The dilutive effect of these potentially dilutive securities is reflected in diluted earnings per share using the treasury stock method. Under the treasury stock method, an increase in the fair market value of our common stock can result in a greater dilutive effect from potentially dilutive securities.

The potential shares of common stock that were excluded from the computation of diluted net loss per share for the periods presented because including them would have been antidilutive are as follows (in thousands):


	Three Months Ended September 30,				Nine Months Ended September 30,
	2023		2022		2023		2022
Outstanding stock options		34,284		32,687		34,284		32,687
RSUs		1,937		1,174		1,937		1,174
Purchase Plan		309		398		309		398
Total		36,530		34,259		36,530		34,259

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3.	Revenues

Revenues disaggregated by category were as follows (in thousands):


	Three Months Ended September 30,				Nine Months Ended September 30,
	2023		2022		2023		2022
Product sales:
Gross product sales	$	38,585	$	26,977	$	105,239		76,022
Discounts and allowances		(11,456)		(7,789)		(30,484)		(22,087)
Total product sales, net		27,129		19,188		74,755		53,935
Revenues from collaborations:
License revenues		—		—		—		2,545
Development milestones		75		—		75		5,000
Royalty, delivery of drug supplies and others		930		722		5,260		4,984
Total revenues from collaborations		1,005		722		5,335		12,529
Government contract		—		2,500		1,000		2,500
Total revenues	$	28,134	$	22,410	$	81,090	$	68,964

Revenue from product sales are related to sales of our commercial products, TAVALISSE and REZLIDHIA, to our specialty distributors. For detailed discussions of our revenues from collaboration and government contract, see “Note 4 – Sponsored Research and License Agreements and Government Contract.”

Our net product sales include gross product sales, net of chargebacks, discounts and fees, government and other rebates and returns. Of the total discounts and allowances from gross product sales for the nine months ended September 30, 2023 and 2022, $29.7 million and $19.7 million, respectively, was accounted for as additions to revenue reserves and refund liability, and $0.8 million and $2.4 million, respectively, as reductions in accounts receivable (as it relates to allowance for prompt pay discount) and prepaid and other current assets (as it relates to certain chargebacks and other fees that were prepaid) in the condensed balance sheet. The following tables summarize the activities in chargebacks, discounts and fees, government and other rebates and returns that were accounted for within revenue reserves and refund liability, for each of the periods presented (in thousands):


	Chargebacks,		Government
	Discounts and		and Other
	Fees		Rebates		Returns		Total
Balance as of January 1, 2023	$	6,213	$	2,636	$	3,296	$	12,145
Provision related to current period sales		23,150		5,932		623		29,705
Credit or payments made during the period		(21,504)		(5,631)		(172)		(27,307)
Balance as of September 30, 2023	$	7,859	$	2,937	$	3,747	$	14,543


	Chargebacks,		Government
	Discounts and		and Other
	Fees		Rebates		Returns		Total
Balance as of January 1, 2022	$	3,404	$	2,494	$	2,017	$	7,915
Provision related to current period sales		14,475		4,130		1,045		19,650
Credit or payments made during the period		(11,920)		(4,257)		(199)		(16,376)
Balance as of September 30, 2022	$	5,959	$	2,367	$	2,863	$	11,189

The following table summarizes the percentages of revenues from each of our customers who individually accounted for 10% or more (wherein * denotes less than 10%) of the total net product sales and revenues from collaborations:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2023		2022		2023		2022
McKesson Specialty Care Distribution Corporation		49%		44%		46%		38%
Cardinal Healthcare		28%		27%		27%		22%
ASD Healthcare and Oncology Supply		18%		25%		20%		21%
Kissei		*		*		*		11%

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4.	Sponsored Research and License Agreements and Government Contract

Sponsored Research and License Agreements

We conduct research and development programs independently and in connection with our corporate collaborators. As of September 30, 2023, we are a party to collaboration agreements with Lilly to develop and commercialize R552, a RIPK1 inhibitor, for the treatment of non-central nervous system (non-CNS) diseases and collaboration aimed at developing additional RIPK1 inhibitors for the treatment of central nervous system (CNS) diseases; with Grifols S.A. (Grifols) to commercialize fostamatinib for human diseases in all indications, including chronic ITP and autoimmune hemolytic anemia (AIHA), in Grifols territory which includes Europe, the UK, Turkey, the Middle East, North Africa and Russia (including Commonwealth of Independent States); with Kissei Pharmaceutical Co., Ltd. (Kissei) to develop and commercialize fostamatinib in Kissei territory which includes Japan, China, Taiwan and the Republic of Korea; with Medison Pharma Trading AG (Medison Canada) and Medison Pharma Ltd. (Medison Israel and, together with Medison Canada, Medison) to commercialize fostamatinib in all indications, including chronic ITP and AIHA, in Medison territory which includes Canada and Israel; and with Knight Therapeutics International SA (Knight) to commercialize fostamatinib in all indications, including chronic ITP and AIHA, in Knight territory which includes Latin America, consisting of Mexico, Central and South America, and the Caribbean (Knight territory).

Further, we are also a party to collaboration agreements, but do not have ongoing performance obligations with BerGenBio for the development and commercialization of AXL receptor tyrosine kinase (AXL) inhibitors in oncology, and with Daiichi to pursue research related to murine double minute 2 (MDM2) inhibitors, a novel class of drug targets called ligases.

Under the above existing agreements that we entered into in the ordinary course of business, we received or may be entitled to receive upfront cash payments, payments contingent upon specified events achieved by such partners and royalties on any net sales of products sold by such partners under the agreements. As of September 30, 2023, total future contingent payments to us under all of the above existing agreements, excluding terminated agreements, could exceed $1.3 billion if all potential product candidates achieved all of the payment triggering events under all of our current agreements. Of this amount, $279.5 million relates to the achievement of development events, $263.1 million relates to the achievement of regulatory events and $796.0 million relates to the achievement of certain commercial events. This estimated future contingent amount does not include any estimated royalties that could be due to us if the partners successfully commercialize any of the licensed products. Future events that may trigger payments to us under the agreements are based solely on our partners’ future efforts and achievements of specified development, regulatory and/or commercial events.

Global Exclusive License Agreement with Lilly

We have a global exclusive license agreement and strategic collaboration with Lilly (Lilly Agreement) entered in February 2021, which became effective on March 27, 2021, upon clearance under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, to develop and commercialize R552 for the treatment of non-CNS diseases. In addition, the collaboration is aimed at developing additional RIPK1 inhibitors for the treatment of CNS diseases. Pursuant to the terms of the Lilly Agreement, we granted Lilly the exclusive rights to develop and commercialize R552 and related RIPK1 inhibitors in all indications worldwide. The parties’ collaboration is governed through a joint governance committee and appropriate subcommittees.