SUBSEQUENT EVENT

6 Months Ended

Jun. 30, 2017

Subsequent Events [Abstract]

SUBSEQUENT EVENT

(20) SUBSEQUENT EVENT

On July 17, 2017, the Company executed license and settlement agreements (the Agreements) with Sarepta Therapeutics (Sarepta) that provide Sarepta with global exclusive rights to the Company’s Duchenne muscular dystrophy (DMD) patent estate for EXONDYS 51 and all future exon-skipping products. The Agreements resolved the ongoing worldwide patent proceedings related to the use of EXONDYS 51 and all future exon-skipping products for the treatment of DMD. Under the Agreements, Sarepta made a one-time $35.0 million payment to the Company and certain additional regulatory and commercial milestone payments for exons 51, 45, 53 and possibly on future exon-skipping products to the Company. Sarepta will also pay royalties to the Company based on 5% of net sales through the end of 2023 in the U.S. and 8% of net sales through September 30, 2024 in the EU and in other countries where certain of the Company’s patents exist. The Company retained the right to convert the license to a co-exclusive right in the event it decides to proceed with an exon-skipping therapy for DMD.