Biopharmaceutical company Ipsen (Euronext Paris:IPN) (ADR:IPSEY) announced on Thursday that it has licensed ex-US rights to Day One Biopharmaceuticals' (Nasdaq:DAWN) tovorafenib for paediatric low-grade glioma (pLGG), the most common form of childhood brain cancer.

Tovorafenib is FDA-approved for relapsed or refractory pLGG with BRAF alterations, a condition affecting over half of pLGG cases globally. The drug addresses an unmet need for targeted treatments outside the United States.

Under the agreement Day One will receive USD111m upfront, including USD71m cash and USD40m equity investment, plus up to USD350m in milestones and tiered double-digit royalties.

Ipsen will be responsible for the regulatory and commercial activities for tovorafenib in all territories outside of the United States.

Day One will maintain exclusive global development and US commercial rights for tovorafenib.