Oxford Biomedica plc (LSE:OXB) (“Oxford Biomedica” or “the Group”), a leading gene and cell therapy group, and Homology Medicines, Inc. (Nasdaq: FIXX) (“Homology”), a genetic medicines company, have announced that the companies have agreed to establish a high-performing, full scope Adeno-Associated Virus (AAV) Manufacturing and Innovation Business in the US.

Under the terms of the agreement, the Group will pay Homology US$130 million upfront and invest US$50 million to fund Oxford Biomedica Solutions in return for an 80 percent ownership stake, while Homology will own 20 percent of the new company. Additionally, at any time following the three-year anniversary of the agreement, the Group will have a call option to purchase, and Homology will have a put option to require the Group to purchase, Homology’s ownership interest in Oxford Biomedica Solutions.

Latham & Watkins LLP represents Homology Medicines, Inc. in the transaction. The corporate team was led by partners Matthew Goulding, Peter Handrinos, and Phil Rossetti, with associates Andrew Barris, Gregory Drozdzal, Cory Lewis, Nicole McNeil, and Kristin Rulison. The licensing team was led by partner Judith Hasko, with counsel Eliot Choy and associates Robert Yeh, Seth Appiah-Opoku, and Arun Mohan. Advice was also provided on real estate matters by partner Stephanie Fontanes; on employee benefits and compensation matters by partner Matthew Conway, with associate Kirk Porter; on tax matters by partner Katharine Moir, with associate Alexander Farris; and on antitrust matters by partner Mandy Reeves, with counsel Patrick English.