Covington Represents Athyrium in $50 Million Japan Royalty Financing with Esperion

WASHINGTON— Covington advised Athyrium Capital Management in connection with a $50 million Japan royalty financing transaction with Esperion Therapeutics, Inc. Under the transaction, funds managed by Athyrium purchased a portion of the royalties payable to Esperion on Japan net sales of Otsuka Pharmaceutical’s bempedoic acid products, together with related milestone payments, subject to a cap.

Under the terms of the financing, Athyrium funds will receive tiered royalties ranging from 12% to 33%, as well as milestone payments, until they have received aggregate payments equal to 2.0x their investment, after which all royalty and milestone rights will revert to Esperion. The financing supports Esperion’s acquisition of Corstasis Therapeutics Inc., which developed and is commercializing Enbumyst™, the first FDA‑approved intranasal loop diuretic for the treatment of edema associated with cardiovascular, hepatic, and renal disease.

The Covington team included Peter Schwartz, Julian Wright, Ansgar Simon, and Steve Mossey.