Royalty Pharma Buys Royalties On Vertex Pharma'cystic Fibrosis Drug For $3.3 Bln

(RTTNews) - Royalty Pharma announced that it will acquire royalties on Vertex Pharmaceuticals' (VRTX) cystic fibrosis treatments owned by Cystic Fibrosis Foundation Therapeutics' or "CFFT", an affiliate of the Cystic Fibrosis Foundation, for a cash payment of $3.3 billion.

Royalty Pharma noted that it financed this acquisition with cash on hand and a $2.7 billion unsecured term loan provided by Bank of America Merrill Lynch.

Bank of America Merrill Lynch acted as financial advisors to Royalty Pharma in this transaction and Goodwin Procter acted as legal advisor.

Morgan Stanley acted as the exclusive Structuring Agent for CFFT and Shaner & Lubitz acted as legal counsel.

Cystic fibrosis is a fatal genetic disease that primarily affects the lungs and digestive system. An estimated 70,000 children and adults worldwide have cystic fibrosis.