Following extracted from this mornings ASX release:

Eisai Co., Ltd (Japan) and their development partner, Biogen Inc, have announced that the U.S. Food and Drug Administration (FDA) has granted Accelerated Approval for aducanumab (to be marketed as ADUHELMTM) for the treatment of Alzheimer’s disease.

The approval by the FDA of ADUHELM is the first new treatment approved for Alzheimer’s disease since 2003 and is the first approved therapy that targets the fundamental pathophysiology of the disease.

Contractual Implications Under the 10-year agreement between Eisai and Cogstate executed on 26 October 2020, Eisai had a right to terminate the agreement after year five under certain conditions. Following the approval of ADUHELM by the FDA, Eisai no longer have that right to accelerated termination of the Cogstate-Eisai agreement. Therefore, in addition to the minimum contractual royalty payments over commercial years 1-5 of US$10 million, Eisai are now also contractually obliged to make the minimum royalty payments to Cogstate over commercial years 6-10, being an additional aggregate payment of US$20 million over that period.