Atara Biotherapeutics, Inc. reported recent business highlights including an expanded global partnership with Pierre Fabre Laboratories for tabelecleucel (tab-cel®?), financial results for the third quarter 2023, and key upcoming catalysts. Atara has entered into an expanded partnership with Pierre Fabre Labs for the U.S. and remaining global commercial markets for tab-cel for up to USD 640 million and significant double-digit tiered royalties on net sales. In addition, Pierre Fabre Laboratories has agreed to reimburse Atara for expected tab-cel global development costs through Biologics License Application (BLA) transfer, and purchase current and future tab-cel inventory through the BLA transfer date.

Near-term payments to Atara include: Approximately USD 30 million in cash upfront and initial inventory purchase at closing; USD 100 million in potential regulatory milestones through BLA approval; Substantially all tab-cel manufacturing, clinical, and regulatory activities are planned to transition from Atara to Pierre Fabre Laboratories at the time of BLA transfer; Atara expects to submit the tab-cel post-transplant lymphoproliferative disease (PTLD) BLA in second quarter 2024. The closing of the transaction, subject to expiration of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act and other customary closing conditions, is expected to occur in December 2023. JT Partners served as the exclusive financial advisor to Atara and Fenwick & West LLP served as legal counsel to Atara.

Strategic Restructure and Financial Impacts; Concurrent with the execution of the global tab-cel partnership, Atara is undertaking a strategic restructuring and is reducing its current workforce by approximately 30 percent. This will enable Atara to execute its remaining responsibilities under the tab-cel collaboration with Pierre Fabre Laboratories, while focusing on the advancement of ATA188 and its differentiated allogeneic CAR T (AlloCAR-T) programs; The strategic restructuring, combined with certain anticipated payments from the expanded global partnership and the Company's existing cash, cash equivalents and short-term investments as of September 30, 2023, is expected to fund the Company's planned operations into third quarter 2025. The ATA188 Phase 2 EMBOLD study primary analysis and communication is expected to be in the third quarter 2023.