Xencor to receive $105 million from Alexion to settle Ultomiris royalty dispute

Xencor announced on July 29, 2026 that it entered into a settlement agreement with Alexion Pharma International Operations Limited to resolve a commercial dispute over U.S. royalties on Ultomiris (ravulizumab-cwvz).

Under the agreement, Xencor will receive an aggregate of $105 million in two equal payments: the first $52.5 million payment is anticipated in August 2026, and the second $52.5 million payment is due within 14 days following the one-year anniversary of the date of the Settlement Agreement.¹ Alexion will have no further obligation to pay royalties on U.S. sales of Ultomiris.¹ The settlement does not affect Xencor's receipt of royalties on ex-U.S. sales of Ultomiris under the existing terms of its Option and License Agreement with Alexion, dated January 28, 2013, as amended.¹

The dispute originated in March 2026, when Alexion informed Xencor of its position that no additional royalties were owed on U.S. sales of Ultomiris and that it did not intend to make future payments related to U.S. sales.¹ The Settlement Agreement fully resolves this dispute.¹

The full text of the Settlement Agreement will be filed either as an exhibit to Xencor's Quarterly Report on Form 10-Q for the quarter ending September 30, 2026, or by amendment to this Current Report on Form 8-K.¹

On financial guidance, based on current operating plans, Xencor expects to have cash to fund research and development programs and operations through 2028.¹ Guidance for year-end 2026 cash, cash equivalents and marketable debt securities will be updated with financial results for the second quarter of 2026.¹